Some OTC medicines may be included as eligible expenses for medical savings accounts such as a flexible spending account (FSA) or a health savings account (HSA). You may be able to save money by using pre-tax dollars from your FSA or HSA to pay for nonprescription medicines or products. Here’s where it gets even more confusing: Some FSA or HSA accounts will cover over-the-counter medicines if you have a prescription for those products. For example, say you are suffering from a sprained ankle and your doctor writes a prescription instructing you to keep the ankle wrapped in an ACE bandage, use a cool pack to reduce swelling and take OTC acetaminophen or ibuprofen to manage the pain. Those are OTC products that may be covered by your FSA or HSA because your doctor wrote you a prescription for them.
Read your plan documents carefully to see what, if any, over-the-counter medicines are covered. And make sure your doctor is willing to write out prescriptions for over-the-counter treatments that would be covered by insurance.