Created in December 2003 and launched in 2004, the Health Savings Account, or HSA, is the US government's answer to America's health care crisis and the ever growing, often prohibitive cost of health Insurance.
An HSA is an Interest baring, tax deductible, tax exempt personal savings account, set up for the sole purpose of paying for minor medical expenses, which in conjunction with a special high deductible plan, significantly lowers premium payments.

An HSA works because, through your purchase of a high deductible plan, you assume responsibility for the "little things" and limit responsibility of the insurance company to cover only major incidents.

The tax exempt, interest baring medical savings account may be used for, not only traditional medical expenses like physician office visits and prescription drug purchases, but for items normally not associated with tax deductible medical expenses, like over the counter drugs, vision care and dental bills. This arrangement saves the insurance company money and administrative costs and the savings are then passed to you. You, in tern, pay yourself by depositing funds into an interest baring savings account, while reaping tax savings in the process.

Remember that once you've met your deductible that all of your medical expenses are now 100% covered by your insurance company and unlike traditional high deductible medical plans, which insist on a separate deductible for two or three family members, with a Health Savings Account plan, you need to have met only one family deductible to have all expenses covered for your entire family.

Call us and let us help you decide whether an HSA is right for you.