Are HSA/HRA plans available?

We offer both Health Savings Accounts (HSA) and Health Reimbursement Account (HRA) plans. You can select from a variety of rates of payment and deductible levels to fit your groups needs. Further information on these plans is shown below.

Health Savings Accounts (HSA)

A Health Savings Account (HSA) is a federally approved, special savings account that enables you to pay for qualified medical expenses with money that is not taxed. HSAs are only available to those with a qualified high deductible health plan. The high deductible plan provides major medical coverage so you are protected from financial hardship due to unforeseen illness and injury - the real purpose of health coverage. The HSA allows employees and/or employers to deposit tax-free money into the HSA to cover current or future medical expenses. And what you don't use, you can save until retirement. It's your money!

HSAs receive special tax treatment.

Money deposited in an HSA account is tax-free. It earns tax-free interest and can be withdrawn tax-free to pay for qualified medical expenses. This special tax treatment makes an HSA unique. Money placed in other accounts or investments is taxed before it's deposited, upon withdrawal or at both times. Even 401k plans and IRAs don't have this special tax-favored treatment.  

In addition, HSAs:

• Allow for the accumulation of unused funds from year to year so you can pay for future medical and/or dental expenses or even save and use the money as a supplement to retirement income.
• Are owned by you, so the funds belong to you whether deposits are made by you, your employer or both.
• Go with you if you ever leave your job.

Health Reimbursement Accounts (HRA)

An HRA is an agreement the employer makes to reimburse plan member for a certain amount of medical expenses incurred during the year. As health care costs rise, so do health premiums. As a result, many employers have eliminated health care coverage for their employees. Employer's often select this plan if they want to continue to provide health care coverage, but need to hold down the cost for the overall good of the business. Employer groups can switch to a more affordable, higher deductible health coverage plan and establish an HRA to help you pay for some of their plan member medical expenses.

An HRA has the following advantages to employee's?

• An HRA is entirely funded by the employer.
• Claim fund contributions are lower. If employees pay part of the claim fund contribution, employers may pay less.
• Employees have dependable major medical to cover large medical bills.