Health Savings Accounts Are Gaining Ground With Employers

Health Savings Accounts Are Gaining Ground With Employers

In 2009, Aon Consulting ( a global human capital consulting organization ), and the International Society of Certified Employee Benefit Specialists surveyed employers regarding their use of consumer - earnest health plans.
Of the employers surveyed who offered twin plans, Health Savings Accounts were higher quality over health reimbursement arrangements ( HRA ). Fifty - six percent of these employers used the health savings account ( HSA ) model, while only 35 percent used the HRA model. Nine percent verbal they used both types.
This trend has been growing over the last three years. As the number of employers offering a HSA has grown from 48 to 56 percent, the number offering HRA has fallen from 43 to 35 percent. The HSA model may be growing in adulation thanks to health savings accounts are considered more advantageous for employees than HRA.
The 2009 survey also establish that more employers who offer a HSA plan are contributing money to the plan. Sixty - six percent contributed in 2009 as compared to 60 percent in 2008. This trend is expected to lengthen since of the 56 percent of employers surveyed who did not offer consumer - purposeful health plans, 37 percent spoken they planned to offer one in the near future.
J. P. Morgan Guides Employers to Offer Health Savings Accounts
J. P. Morgan has issued " Best Practices for Implementing a Health Savings Account ( HSA ) Program, " which provides step - by - step help for employers who want to offer their employees a HSA program. As one of the first banks to offer Health Savings Accounts, J. P. Morgan has extensive experience in the consumer - directed healthcare industry. The bank administers HSA programs for midpoint 10, 000 companies, and provides HSA cash and investment services for hundreds of thousands of individuals.
These best practices take after J. P. Morgan ' s experience bunch the needs of companies that serve as the full spectrum of American employers. That ranges from small companies with as few as two employees to firms with more than 100, 000 employees.
These best practices consist of designing a HSA plan to meet both short - and long - term enrollment goals. Companies that are most smashing in introducing a HSA plan design their plan to be easy to perceive and use. Undifferentiated plans typically outfit 100 percent coverage for preventive care services. They ofttimes offer a line of credit to cover unexpected medical expenses, and these employers usually contribute to their employees ' Health Savings Accounts. Equally important, these employers also promote employee education about the cost of healthcare.
How to Select a HSA Administrator
HSA administrators should have the required ability and locus capabilities to meet both the company ' s and the employees ' needs. Companies should choose a HSA administrator that can furnish a simple enrollment process, and customizable employee scandal and enrollment materials. Also, glom for a HSA executive to fix up comprehensive reporting with a zealous support team. Basically, glad eye for a strong reputation and balance sheet.
The Need to Communicate HSA Benefits to Employees
Companies need a well planned and executed strategy to communication the benefits of a HSA plan over several months abbot to the actual enrollment period. That allows employees the vital time to fully discern their new benefits. It also reduces employee confusion during the busy enrollment period. Take advantage of professionally - developed communication tools that can answer your employees ' questions and concerns about Health Savings Accounts.
By the end of 2008, there were an estimated three million Health Savings Accounts with combined deposits of more than $3 billion. The number of Health Savings Accounts is expected to quadruple by 2012. Will your company be part of that future?