What Are the Benefits of a Health Savings Account

Ohio Health Plans - What are the Benefits of a Health Savings Account?
A Health Savings Account (HAS) is the newest trend in health
insurance, especially if you are a small business owner or young
family. An HSA is also sometimes referred to as a Consumer Driven
Health Plans (CDHP). CDHP consumers are:
* 25% more likely to engage in health behaviors
* 20% more likely to follow treatment prescribed for
chronic conditions
* 30% more likely to get an annual check-up
* 50% more likely to ask about cost
So often today consumers are passive; their individuals that fall into
the system. Typically these consumers make two common mistakes:
they typically don't question the recommendations of their primary
care physician and they insulate themselves from the real costs of
health care. However, this is not only the consumer's fault. The
health insurance industry has not helped to overcome this
temptation to just pay a co-pay and not ask any questions. Consumers need to be informed! In 2004 the government
introduced new legislation creating HSAs to help individuals save for qualified medical and retiree health expenses on a
tax-free basis.
What does this all mean? Well, an HSA is similar to the old MSAs, but much more flexible! They combine the pre-tax
treatment of a health flex spending account, the portability and roll-over characteristics of a 401(k) plan, and the tax-free
distribution of a Roth IRA. Basically, to put it in plain English you would set up a savings account at a bank of your
choice. You can put as little or as much money into that account as you like (up to the IRA yearly limit) and it is
completely TAX-DEDUCTIBLE! This money can be used for all of your office visit fees, to meet your deductible, for
eyeglasses, contacts, dental, OTC medications, so many options! AND, whatever you don't use rolls over to the next
year. These will not only help you to save for health expenses such as surgery, but also, it will help more families "get
the health care they need at a price they can afford."
Some Ohio health insurance companies, such as Anthem BCBS will also cover your preventive care at 100% if you
enroll in an HSA. This includes well-child visits, immunizations, pap smears, mammograms, and colonoscopies. Also,
most HSAs have 100% co-insurance, so that means that once your deductible is met the health insurance company
covers all remaining expenses in that year at 100%.
About the Author
Tracy Mc Manamon and his associates at One Source Benefits have over 22 years of experience in the health insurance
industry. They offer free quotes on affordable Ohio health insurance plans. For more information, please visit:
http://www.onesourcebenefits.com/
Tracy Mc Manamon
One Source Benefits
616 Belleview Blvd
Steubenville
OH 43952
Phone: 877-549-1212

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