The Maryland Contraceptive Equity Act (MCEA) is now in effect, as of January 1, 2018. The IRS and the state of Maryland continue to disagree on the definition of preventive care. Under the MCEA, male sterilization is deemed to be preventive care, meaning vasectomies must be made free to all individues covered by a fully insured health insurance policy issued in Maryland. The IRS does not include male sterilization procedures in its definition of preventive care.
Under federal guidelines, in order for a health plan to be considered HSA-compatible, it must qualify as a “high deductible health plan” or HDHP. To be considered a HDHP, a plan must apply a deductible towards all benefits unless those benefits are deemed to be for preventive care, as defined by the IRS. Insurers offering HSA-compatible HDHPs in Maryland have warned existing and prospective insureds about the plans' incompatibility with the IRS requirements. Popular speculation at the moment holds it's unlikely the IRS will disqualify all HSAs offered in the state, based on compliance with a state mandate.
The Maryland Insurance Administration has requested guidance from the IRS.
Source: Kelly Marketing Services