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If the employee has a health care Flexible Spending Account (FSA) and an HCA, which account can he/she use to pay eligible health expenses?

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The eligible expenses are deducted from the HCA first. When that account is depleted, health care expenses can then be reimbursed from the FSA. That is, the funds in the FSA can be used to satisfy the remaining portion of the deductible, or coinsurance payments after the deductible is met, or non-covered eligible charges.

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