Cash In on Your Medicare Advantage Flex Card Perks Before They Disappear

Time is Running Out text with a Clock or watch concept. Deadline Ending Soon 3d Illustration, Banner, Background, Stopwatch, vector illustration. — (Image credit: Getty Images)

A critical deadline is approaching for millions of Americans enrolled in Medicare Advantage plans — not open enrollment — I'm talking about expiring prepaid benefit cards.

Many Medicare Advantage (MA) enrollees are issued flex cards — preloaded debit cards that can be used for certain health- and wellness-related expenses that MA plans might not cover outright. These expenses can include over-the-counter (OTC) medicines and supplies, hearing, dental and vision services and more.

If your Medicare Advantage plan includes a flex card allowance, you have until the end of 2025 to use the funds. These cards operate on a "use-it-or-lose-it" basis, and any balance remaining on the card when the clock strikes midnight on December 31 will be forfeited.

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Don't miss your final opportunity to cash in on benefits you've already paid for, ensuring you maximize every dollar intended for your health and wellness.

What are Medicare Advantage flex cards?

A flex card is a prepaid debit card offered by some private insurance companies through their Medicare Advantage (Part C) plans. Flex Cards are a supplemental benefit offered by private insurers, not by the federal government or original Medicare.

The card is preloaded with a specific dollar amount (an allowance), which can be added monthly, quarterly or annually, depending on your specific plan. Allowances typically range from a few hundred dollars to over a thousand annually.

Use of the card is restricted. The card can only be used for a list of approved, health-related expenses designated by your plan.

The card only works at participating retailers, such as pharmacies, grocery stores, dentists or eye doctors that accept the card's network. If you try to buy an ineligible item or shop at a nonparticipating store, the card will be declined.

Most Flex Card allowances don't roll over. Funds usually expire at the end of the calendar year (December 31), or, in some cases, at the end of the quarter or month they were issued.

Covered expenses vary by plan

Although most MA enrollees are in plans that offer dental (98%), vision (100%), hearing (96%), and OTC medication (88%) benefits, according to the Commonwealth Fund, findings show that many of these enrollees do not report using them.

Medicare Advantage plans were supposed to begin sending plan participants midyear reminders, “Mid-Year Enrollee Notification of Unused Supplemental Benefits,” this past July. However, this rule has been paused by the Centers for Medicare and Medicaid due to industry concerns and requests for guidance.

Don't let the opportunity to access additional resources go unused. Use some of our suggestions, or use the list as a jumping-off point to find goods or services that would better suit your needs.

Swipe to scroll horizontally

Category	Typical items covered	Row 0 - Cell 2
Over-the-counter (OTC)	Pain relievers, vitamins, cold/allergy medicine, first aid supplies, dental supplies, incontinence products, blood pressure monitors	Row 1 - Cell 2
Dental/vision/ hearing	Glasses, contact lenses, hearing aids, sometimes dentures.	Row 2 - Cell 2
Healthy groceries	Fresh fruits, vegetables, meats, dairy products, and certain nonperishable food items (often restricted to Dual Special Needs Plans—D-SNPs)	Row 3 - Cell 2
General health	Gym memberships, fitness trackers, transportation costs to/from medical appointments.	Row 4 - Cell 2

What to buy before the end of the year

Since most flex card allowances operate on a strict "use-it-or-lose-it" basis by December 31, it's essential to spend any remaining balance before the deadline.

Beneficiaries should focus on buying non-perishable health essentials that they know they will use in the first few months of the new year or services not otherwise covered by their Medicare Advantage plans.

One easy way to exhaust your remaining flex card benefit is to stock up on non-perishable over-the-counter (OTC) items:

Vitamins/supplements: Purchase common daily vitamins such as vitamin D, C, multivitamins or fish oil
Over-the-counter medications: Stock up on pain relievers, cold/flu medication, allergy meds, antacids and laxatives
First aid supplies: What's running low or missing from your kit? See if you need bandages, gauze, antiseptic wipes, antibiotic ointments, heating pads or cold packs.
Personal care supplies: Replenish your supply of toothpaste, toothbrushes, denture cream and contact lens solution.

If you have a large remaining balance, consider buying more expensive medical equipment that's durable, such as a walker or cane. You might also want to purchase a shower chair or grab bars for bathroom safety.

Other options could include a new blood pressure monitor, glucose monitor or replacement batteries for hearing aids. If your plan covers it, consider getting a low-cost fitness tracker or some light exercise equipment.

Check with your Medicare Advantage plan for the details

Don't let this benefit go to waste. I've given you the general outlines of how flex cards work; you should investigate to find out the details of how your particular benefit works. Contact your Medicare Advantage plan or check their website for help. Information you need to fully understand your benefit:

1- Check the expiration date: Call your Medicare Advantage plan or check your member portal immediately to confirm the exact expiration date of your remaining balance.

2- Verify your balance: Find your current exact balance. Don't rely on memory.

3- Review the approved list: Re-read your plan's benefit guide or check the list of approved retailers and goods to ensure your final purchases will be covered at the store you plan to visit

Donna joined Kiplinger as a personal finance writer in 2023. She spent more than a decade as the contributing editor of J.K.Lasser's Your Income Tax Guide and edited state specific legal treatises at ALM Media. She has shared her expertise as a guest on Bloomberg, CNN, Fox, NPR, CNBC and many other media outlets around the nation. She is a graduate of Brooklyn Law School and the University at Buffalo.