<<Disclaimer: Verify this information before applying it to your situation.>>

There were many replies indicating that gluten-free foods are not
covered by medical insurance, which is NOT what this plan is.  So, I
feel obligated to first define what a "Flexible Spending Medical
Reimbursement Account" is:

A Flexible Spending Medical Reimbursement Account is a benefit plan that
enables you to set aside a predetermined dollar amount in an account to
cover eligible out-of-pocket health care expenses throughout the year.
IRS rules allow you to contribute to your accounts through payroll
deduction on a pre-tax basis--before federal income tax, social
security, or (in most cases) state withholding taxes are deducted--
reducing your taxable income.  Then, as needed, you can withdraw funds
from your accounts to reimburse yourself for the elibible expenses
you've paid.  The dollars set aside in a reimbursement account are
actually worth more because they're tax free.  These plans are offered
as an benefit through your employer.  Many people may be familiar using
a similar type of plan for dependent care expenses (child or elder day care).

The costs of special foods and/or beverages are reimbursable if they are
consumed primarily to alleviate or treat an illness or disease, and not
for nutitional purposes.  Special foods and beverages are reimbursable
only to the extent that their cost is greater than the cost of the
commonly available version of the same product.  Therefore, the extra
costs of gluten-free foods come under these guidelines.  These
guidelines as they pertain to gluten-free food deductions can be found
at http://www.celiac.org/tax.htm.

In my situation, CIGNA Insurance is only administering the plan
(processing the claims and disbursing the checks).  They have to process
the claims in accordance with I.R.S. guidelines.  However, as several
people indicated, CIGNA has a "reputation" for denying claims and
creating a paperwork nightmare for their HMO and PPO plans on their
"medical insurance" side of the business.  One person offered the
encouragement that perhaps the only bright spot is that the flex
spending is YOUR MONEY and not CIGNA's so they have less incentive to
deny. Another person with employee benefits experience suggested if my
company just switched to CIGNA there is a very happy sales rep someplace
who got that account and chances are they will jump through a few hoops
for the employee benefits person at the company, and to talk to my
benefits department and have them help me get to the right place at
CIGNA.  At the begining of a contract is the best time to find the
insurance company accomodating.

No one had any direct experience using CIGNA as the administrator for
their Flex Spending Account.  Several people indicated that all you need
to do is "submit a claim for the difference in cost between regular food
and gluten-free food."   I can easily get the receipt for the
gluten-free food, but no one offered an explanation of what constitutes
"proof" of the cost of regular food.  I was concerned about this issue
because I had once heard that to submit an expense on your tax return
for gluten-free foods, one had to get a written statement signed by the
store manager stating what the cost of the "regular" food was at the
time you purchased the "gluten-free" food - that seems to be way too
much trouble just to save a few bucks on the extra cost of gluten-free
food! If the flex plan administrator has such requirements, I wouldn't
be bothered!

CIGNA's website does indicate that special foods are reimbursable as
defined above. But it does not indicate any type of procedure for
submitting the claims.  So my mission is to get CIGNA to define their
claim requirements BEFORE I enroll in the plan, preferably in writing,
so that I can hold them to their word. If that is not possible, I will
just estimate a very small sum and experiment with submitting claims for
reimbursement.  If I overestimate or am unable to substantiate my claim
to meet CIGNA's requirements, I will forfeit any money set aside in the
Flex Spending Account at the end of the year.

Paula Raleigh
Maine