Employers with self-insured health plans must pay an annual fee to fund the Patient-Centered Outcomes Research Institute (PCORI). Self-insured health plans that are subject to PCORI fees include self-funded medical plans, as well as HRAs offered in conjunction with fully insured group medical plans. HRAs offered with self-insured group medical plans are not subject to separate PCORI fees if the HRA and the medical plan have the same plan sponsor and plan year.
Employers use IRS Form 720 to report and pay PCORI fees, which are due by July 31 of the year following the last day of the plan year.
*The PCORI fees originally applied for plan years ending before Oct. 1, 2019. However, a 2019 spending resolution reinstated PCORI fees through 2029. As a result, self-insured health plans must continue to pay these fees through 2029.