Does an HSA Cover Car Seats as a Qualified Expense?

Health Savings Accounts (HSAs) offer a tax-advantaged way to save and pay for healthcare expenses. Understanding which expenses qualify for reimbursement can be unclear. A common question is whether everyday items, such as car seats, can be covered by an HSA. This article clarifies the eligibility of car seats for HSA reimbursement.

Understanding Qualified Medical Expenses

For an expense to be covered by a Health Savings Account, it must meet the Internal Revenue Service (IRS) definition of a “qualified medical expense.” These are costs incurred primarily for the diagnosis, cure, mitigation, treatment, or prevention of disease. The expense must also be for treatments affecting any part or function of the body.

Common examples of qualified medical expenses include doctor visits, prescription medications, dental treatments, and vision care. These expenses are directly related to medical care, serving to treat or prevent specific health conditions. The IRS outlines these definitions in various publications.

Car Seats and HSA Eligibility

Standard car seats are not considered qualified medical expenses by the IRS. Their primary function is to provide general safety and protection for children during travel. This purpose does not align with the IRS’s requirement that an expense must be primarily for the prevention or alleviation of a specific medical condition or illness.

Car seat purchases, even though legally required for child safety, do not qualify for reimbursement from a Health Savings Account. They are categorized as general safety items, which fall outside the scope of what HSAs are designed to cover.

When a Car Seat Might Be Covered

There are limited circumstances under which a car seat can be considered a qualified medical expense. This exception applies if a car seat is specially designed or prescribed by a medical professional to address a specific medical condition of the child. For instance, a child with a physical disability might require a specialized car seat that provides therapeutic support beyond general safety.

In such cases, a Letter of Medical Necessity (LOMN) from a doctor or healthcare provider is required. This letter must clearly state the specific diagnosed medical condition, describe how the specialized car seat will alleviate or prevent the condition, and explain why it is medically necessary. Without this documentation, even specialized equipment would not be eligible for HSA reimbursement.