Voluntary Employee Beneficiary Association


Key Takeaway

A Voluntary Employees’ Beneficiary Association (VEBA) plan is a type of tax-exempt trust used by its members and eligible dependents to pay for eligible medical expenses. The plan is solely funded at the discretion of your employer.

How it works

A VEBA plan can cover a wide variety of medical, dental, and vision expenses. These expenses must be medically necessary for the diagnosis, treatment, or alleviation of a specific illness or injury. They may include hospital or clinic services, prescription drugs and medications, certain over-the-counter medical supplies, and many other health related expenses as defined by Section 213(d) of the Internal Revenue Code. It also includes chiropractic, dental, orthodontia, and vision expenses.

VEBA plans can also be used to pay premiums for COBRA, long-term care insurance (limits apply), health insurance premiums, or Medicare premiums. Please review your employer plan document for covered expenses.

VEBA Investment

The money contributed to your VEBA account will be deposited into an interest-bearing, FDIC-insured account with Alerus.

How to request a reimbursement

  1. 1

    Online at alerusrb.com

  2. 2

    Through the Alerus Benefits mobile app

  3. 3

    By faxing a Reimbursement Request Form to 507.373.2409

  4. 4

    By mailing a Reimbursement Request Form to P.O. Box 64535, St. Paul, MN 55164-0535

When submitting a VEBA reimbursement:

  • Always include documentation to support the expense you are requesting reimbursement for. Documentation should be itemized to show the date of service, what service is rendered, and the amount you are responsible for after applicable insurance has been processed.
  • Online claims cannot be paid until itemized documentation is submitted to Alerus and approved.