Primary Care Enhancement Act of 2025

Bill 119 HR 1026, also known as the Direct Primary Care Enhancement Act, aims to amend the Internal Revenue Code of 1986 to allow individuals who have direct primary care service arrangements to continue being eligible for health savings accounts (HSAs).

Under current law, individuals with direct primary care service arrangements are not considered eligible for HSAs, which are tax-advantaged accounts that can be used to pay for qualified medical expenses. This bill seeks to change that by allowing individuals with direct primary care arrangements to still qualify for HSAs.

The bill also includes provisions to clarify that direct primary care service arrangements are not considered insurance, and that payments for these services are not considered insurance premiums. This distinction is important as it ensures that individuals with direct primary care arrangements can still benefit from the tax advantages of HSAs. Overall, the Direct Primary Care Enhancement Act aims to provide individuals with more flexibility in how they access and pay for healthcare services, while also encouraging the use of HSAs as a way to save for medical expenses.