Special Foods: HSA Eligibility

What are special foods?

.Special foods are eligible only if (1) the food or beverage doesn't satisfy normal nutritional needs, (2) the food or beverage alleviates or treats an illness, and (3) the need for the food or beverage is substantiated by a physician. The medical expense is limited to the amount by which the cost of the food or beverage exceeds the cost of a product that satisfies normal nutritional needs. If any of the three requirements is not met, the cost of food or beverages is not a medical expense.

Special foods that are eligible for reimbursement will require a Letter of Medical Necessity (LMN) indicating a specific medical condition that the food is necessary for. With the Letter of Medical Necessity (LMN), foods may be eligible for reimbursement under a consumer-directed healthcare account. Foods that are reimbursable with a consumer-directed healthcare account might treat a medical condition such as phenylketonuria, in which the amino acid phenylalanine can not be digested and accumulates to toxic levels in the blood stream. In order to treat the disease, only foods may be consumed which are low enough in protein content such that growth and development are limited. Therefore, specially formulated medical foods that nutritionally rich but do not contain the amino acid phenylalanine (Mayo Clinic).