Upon your death, HCSP assets are transferred to an account for your spouse, legal dependents, or if none, then to a beneficiary to be used for reimbursement of eligible health care expenses. The remaining account balance is never refunded to the employer who sponsored your HCSP.
To learn more about how HCSP assets are distributed upon death, please see HCSP Beneficiary.
Notifying MSRS of participant's death
MSRS should be notified as soon as possible of the death of an HCSP participant. Notification can be made by a family member, friend, employer, funeral home, or others.
The person providing notification will be asked to identify the participant's name, address, Social Security number, and date of death, as well as their relationship to the deceased and contact information for the survivor or beneficiary. MSRS will mail the appropriate person a Beneficiary Enrollment form.
The survivor/beneficiary must complete the Beneficiary Enrollment form and provide a copy of the death certificate.
The remaining account balance is transferred to an HCSP account for the survivor / beneficiary to use for reimbursements of qualified health care expenses.
Requesting reimbursement of decedent's medical expenses
It may be possible to request reimbursement for eligible medical expenses incurred by the participant prior to their death that were not previously reimbursed by HCSP or another tax-advantaged medical savings account. The participant must have been eligible to request reimbursements at the time of their death. Reimbursement of these expenses are tax-free to the recipient, whether a spouse, dependent, or beneficiary. Please contact MSRS at 1-800-657-5757 to discuss this option further.