Will I be asked to document all the expenses I use my card for?


Not necessarily. Due to regulation changes by the IRS, not all Flex Card transactions require documentation if properly “coded” in the  Inventory Information Approval System (IIAS). With the IIAS in place, provider locations with “non-medical” Merchant Category Codes (MCCs) “auto-check” the item in question for eligibility under a reimbursement plan. Items marked under the IIAS as eligible will be accepted on the Flex Card and ineligible items will be denied. This system eliminates both the hassle of submitting claims or documentation for eligible items and the inconvenience of having to repay the reimbursement plan for improperly swiped ineligible items.

As a result, however, provider locations with non-medical MCCs will not accept Flex Cards.

In other words, grocery stores or other locations that sell reimbursable prescription and over-the-counter (OTC) items will not be able to accept the Flex Card unless they have implemented the IIAS.

For example, an eligible OTC item such as bandages swiped at grocery store with the IIAS will be automatically approved by the plan and can be paid for using the Flex Card with no other documentation necessary. Bandages purchased at the same time from a non-IIAS-participating retailer, while an eligible item, will have to be submitted for reimbursement after the purchase, since the retailer will not be able to accept the Flex Card.