An account administrator shall administer the medical care savings account from which the payment of claims is made and has a fiduciary duty to the person for whose benefit the account administrator administers an account.
Terms Used In Utah Code 31A-32a-104
account: means a trust account established at a depository institution in this state pursuant to a medical care savings account program to pay the eligible medical expenses of:
an insurance company authorized to do business in this state under this title;
(d)
a third party administrator licensed under Section 31A-25-203; and
(e)
an employer if the employer has a self-insured health plan under ERISA. See Utah Code 31A-32a-102
Account holder: means the resident individual who establishes a medical care savings account or for whose benefit a medical care savings account is established. See Utah Code 31A-32a-102
Administrator: means the same as that term is defined in Subsection (182). See Utah Code 31A-1-301
Employee: means the individual for whose benefit or for the benefit of whose dependents a medical care savings account is established. See Utah Code 31A-32a-102
Fiduciary: A trustee, executor, or administrator.
Health care: means any of the following intended for use in the diagnosis, treatment, mitigation, or prevention of a human ailment or impairment:
a risk distributing arrangement providing for compensation or replacement for damages or loss through the provision of a service or a benefit in kind;
(ii)
a contract of guaranty or suretyship entered into by the guarantor or surety as a business and not as merely incidental to a business transaction; and
(iii)
a plan in which the risk does not rest upon the person who makes an arrangement, but with a class of persons who have agreed to share the risk. See Utah Code 31A-1-301
Person: includes :
(a)
an individual;
(b)
a partnership;
(c)
a corporation;
(d)
an incorporated or unincorporated association;
(e)
a joint stock company;
(f)
a trust;
(g)
a limited liability company;
(h)
a reciprocal;
(i)
a syndicate; or
(j)
another similar entity or combination of entities acting in concert. See Utah Code 31A-1-301
program: means one of the following programs:
(a)
a program established by an employer in which the employer:
(i)
purchases a qualified higher deductible health plan for the benefit of an employee and the employee's dependents; and
(ii)
contributes on behalf of an employee into a medical care savings account; or
(b)
a program established by an account holder in which the account holder:
(i)
purchases a qualified higher deductible health plan for the benefit of the account holder and the account holder's dependents; and
(ii)
contributes an amount to the medical care savings account. See Utah Code 31A-32a-102
(2)
(a)
Except as provided in Subsection 31A-32a-105(1), the account administrator shall use the funds held in a medical care savings account solely for the purpose of paying or reimbursing the employee or account holder for eligible medical expenses of the employee or account holder or of the employee’s or account holder’s dependents.
(b)
The commissioner shall adopt rules concerning the coordination of benefits between a medical care savings account and medical expenses payable from automobile insurance policies, workers’ compensation insurance policies, or other health care insurance policies or contracts.
(3)
The employee or account holder may submit documentation of eligible medical expenses paid by the employee or account holder in the taxable year to the account administrator, and the account administrator shall reimburse the employee or account holder from the employee’s or account holder’s account for eligible medical expenses.
(4)
If an employer makes contributions to a medical care savings account program on a periodic installment basis, the employer may advance to an employee an amount necessary to cover eligible medical expenses incurred that exceed the amount in the employee’s medical care savings account at the time the expense is incurred if the employee agrees to repay the advance.
