New Issuer of Personal Funding Account Checks
Optum Financial was notified by Silicon Valley Bank (SVB) that SVB would be closing the Optum check disbursement account effective August 1, 2024. Optum Financial manages personal funding accounts on behalf of Premera Blue Cross. Effective May 23, 2024, all checks that accountholders receive will come from Optum Bank.
Member impact
Checks from SVB that haven’t been cashed will be impacted. Optum Financial started communication to Premera accountholders regarding the outstanding checks affected by the SVB closure the week of July 1, 2024.
Health savings account (HSA)
HSA accountholders will receive a communication regarding uncashed checks issued between January 1, 2024, and May 22, 2024, advising that new checks will be reissued. HSA accountholders will receive Search and Due Diligence letters the week of August 1, 2024, if they have an outstanding check on a closed HSA or have an HSA check issued prior to January 1, 2023. All letters will guide the accountholder on what to expect, including how to have checks reissued.
Flexible spending account (FSA), health reimbursement account (HRA), dependent care flexible spending account (DCFSA)
Uncashed checks issued prior to January 1, 2024, will be voided on August 1, 2024, and credited to employers on their weekly FSA invoice by the end of August 2024. Checks issued between January 1, 2024, and May 22, 2024, will be voided as of August 1, 2024, and reissued to the original payee.
Outstanding uncashed checks
Outstanding uncashed checks (HSA, FSA, HRA, and DCFSA) were identified by Optum Financial, including in some circumstances where UMB was the custodian of the HSA. For Premera, the oldest uncashed check was issued in 2010. This is a result of a gap in the automatic void/escheatment process within the legacy ConnectYourCare system and has been corrected.
Optum Financial has implemented an automated void functionality so moving forward, HSA checks will be voided after 120 days and funds will be returned to the HSA. Non-HSA checks will be voided one year after the end of the plan year that the check was issued.
Contact your Premera account representative for more information.