The use of MSA funds is strictly regulated through the provisions of the PHCF act. Withdrawals of MSA balances are allowed only for the payment of medical expenses authorized by PHCF rules and regulations, and which are limited to the following:
- Expenses for outpatient (ambulatory) medical care sought on-island from authorized medical facilities, including expenses for doctor’s fees, diagnostics services, pharmaceuticals, and medical devices and consumables;
- Expenses for pharmaceuticals purchased over the counter from authorized pharmacies or drug vendors if prescribed by an accredited medical practitioner;
- Premiums of private health insurance policies purchased by the account holder, his/her family dependents, and/or other designated beneficiaries;
- Expenses for co-payments due for in-patient care covered under the Palau Health Insurance scheme, including in-patient care sought at Belau National Hospital and off-island referrals;
- Expenses for dental care and prosthesis, reading glasses and contact lenses, and other medical devices prescribed by a doctor and purchased over-the counter from authorized vendors.