applicable account limit
(6) Additional reserve for medical benefits of bona fide association plans (A) In general An applicable account limit for any taxable year may include a reserve in an amount not to exceed 35 percent of the sum of— (i) the qualified direct costs, and (ii) the change in claims incurred but unpaid, for such taxable year with respect to medical benefits (other than post-retirement medical benefits). (B) Applicable account limit For purposes of this subsection, the term “applicable account limit” means an account limit for a qualified asset account with respect to medical benefits provided through a plan maintained by a bona fide association (as defined in section 2791(d)(3) of the Public Health Service Act ( 42 U.S.C. 300gg–91(d)(3) )).