| How
to Choose an HSA-qualified Health Insurance Plan
HSA
plans are simple and easy to understand. If you need some basic information
on how Health Savings Accounts work, visit our HSA
Info page, and our Q and A page. When
you are ready to choose a plan, follow the directions below. It usually
takes no more than 10 minutes or so to choose the best plan for your needs.
-
Get
an Instant Quote. Our instant
quote engine can rapidly show you the available plans in your area, so that
you can get an overall feel of what premiums will be for the different HSA
plans. Request an effective date no later than the 28th of the current
month. With most companies this will enable you to lock in current rates
for 12 to 24 months, and beat any pending rate increases. To see a short
video explanation on how to run quotes and compare plans, see our HSA
Instant Quote Video.
-
Compare
premiums. Our quote system will initially show you just the 100%
plans. These are the most popular plans we offer, and can make it easier
for you to compare rates among different companies. You can lower your
premium by choosing a plan that pays 50, 70, or 80 percent of qualified medical
expenses until a certain out-of-pocket limit is reached, before covering 100%.
To show these plans, go to the Customize Search tab at the top of the page,
and change Your Coinsurance from <10% to “Any”.
For most plans there is
only one deductible for the entire family. A prominent exception is
the Right Start HSA plan, which has a per person deductible.
For complete instructions on how to compare your instant quote results, view
our 11 minute HSA Instant
Quote Video.
-
Decide
if you want a plan that pays for outpatient charges, or if you want a more
catastrophic plan that only covers charges while you are hospitalized.
You can lower your premium by choosing a plan that covers only inpatient doctor
visits and prescription drug expenses.
You can quickly see if
the quote you're looking at covers these expenses by clicking the Details
link next to the instant quote result, and looking up Office Visit
and Prescription Drugs. (Most of our customers choose HSA plans,
but we do offer copay plans as well if you want to compare rates). The
following plans cover outpatient doctor visits and prescription drugs, subject
to the deductible and coinsurance (note that not all plans are available in
all states):
The plans
vary by state, but the following plans generally do NOT cover outpatient
doctor visits, and are usually less expensive than other plans:
The following
plans do NOT cover outpatient prescription drugs (though they may provide
a discount card), and may also be less expensive than other plans:
-
Consider
adding a supplemental accident plan. For a very modest additional
cost, you can add a supplemental accident plan to your coverage that cover $5,000
or $10,000 after a $100 deductible. Because these accident plans are very
inexpensive, you may be able to keep your premiums lower while greatly reducing
your exposure for the type of claims you're most likely to need your health
insurance for - an accident. Stand-alone accident plans can be viewed
on our Accident Plans page.
-
Do
a final review and choose your plan. You can see additional coverage
details on our High Deductible Health Insurance Plans
page where you can also download a company brochure.
You may also wish to check
the insurance company's PPO network to see which doctors and hospitals are considered
in-network providers. Having access to a PPO network can mean substantial
discounts in what you pay for your health care, even before you meet
your deductible. The link to each plans PPO network can be found on that
company's page on our site.
"You
provided excellent service and you really made the job of finding the right
coverage for me easy. I can't think of anything you could do better."
I
was looking specifically for a HSA compatible plan when I came across your site.
All the important information is certainly there and easily accessible.
I learned about the many investment options available through HSAs from your
site. I
will definitely fund my HSA, in fact I will probably go ahead and pay my premiums
and medical expenses out of pocket (post-tax), because I want to maximize my
tax free compounding interest in the HSA account. My
previous insurance plan cost nearly $1,000/month with $5,000 deductible and
10% coinsurance thereafter. My HSA compatible plan costs $194/month with
$10,000 deductible and pays 100% thereafter. Even if we meet our deductible
we are about even with the old plan. If we remain healthy we will be well
ahead. My
only regret is that I did not act quickly enough to have my plan in place before
the new year, so my maximum contribution is slightly lower this year.
I have to say, though, that you did warn me about this in your emails. You
provided excellent service and you really made the job of finding the right
coverage for me easy. I have already recommended you to others.
I can't think of anything you could do better. Rob
May
Ypsilanti, MI Read
More...
| 
How
to Apply for Coverage
Applying
for HSA health insurance and establishing an HSA is quick and easy. Most companies
allow you to apply online. Or you may simply print out an application and fax
it to us at 866-284-0082, or mail in your application.
All applications are submitted under the name of Wiley Long, the president
of HSA for America. If you
are working with one of our advisors (all of whom are fully licensed insurance
agents in the states they represent), that person will be noted on your record
as your assigned contact. If
you want to lock in current rates, you should request an effective date no later
than the end of the current month. This will guarantee your rates won’t
go up for the next 6 to 36 months, depending on the plan. To make sure
you get your requested effective date, you should send in your application as
soon as possible.
Apply
Online The
easiest and most efficient way to apply for an HSA plan is online through an
insurance company's secure online application. This will enable you
to avoid the hassles of filling out a paper application, and will speed up the
process by instantly transmitting your information directly to the insurance
company’s underwriting department. The
application usually takes about 10 minutes to complete. Most, but
not all insurance companies offer an online option. You
may apply online by running instant quotes,
and apply online for most plans we offer right from the quoting system's results
page. Or simply select the apply online link below for the plan you are
interested in. Before
beginning the online application, we recommend that you have the following information
available in order to speed up the process: -
Your doctors’ names, addresses, and phone numbers
-
Medications you currently take or recently took, including dosage and frequency
- Dates
of hospitalization
-
The name of the plan for which you are applying
-
Your requested effective date
-
Your credit card information to cover the initial premium
All
online applications are 100% secure. Most use SSL certified 128 bit encryption. Anthem
uses Sun's Java Cryptography Extension which implements RSA Laboratories, "PKCS
#5: Password-Based Encryption Standard," version 1.5, Nov 1993. Mail
or Fax an Application You
can download an application for the plan you are interested in, print it out,
fill in all the required information, then fax it to us toll-free at (866)
284-0082 or mail it to us at the address below. You may also fill
out our Application Request Form and we
will send you an application right away. Eligibility Individual
and family health insurance applications go through an approval process called
“underwriting”. Because health insurance is designed primarily
to cover you for the unexpected, a company may put a waiver on pre-existing
health conditions. If you have cancer, heart disease, or other serious
health conditions you will likely be declined. Some companies also reserve
the right to rate the premium up to cover the cost of current medications, though
this is less likely to happen with HSA plans. Insurance
companies also look at the application in regards to your height and weight,
and may charge an extra premium if you are over their weight guidelines when
you apply. The height and weight criteria for each health insurance company
is confidential to their underwriting department, and we are not allowed to
post that information. But we have put together a Build
Chart that shows the maximum amount you can weigh and still be confident
that you will not be rated up due to your weight with any
company. If you weigh over this amount, please email us and we can let
you know which insurance company would look at your situation most favorably,
and what the likely rate-up would be. If
you have questions in regards to your eligibility for coverage due to medical
conditions you have been treated for in the last ten years, please send us an
email with your question and we will contact you in regard to your best options.
See the chart
below for instructions to apply with each insurance company:
If
you are searching for non-HSA insurance, we also offer Nationwide to our customers:
What
Happens after you Apply When
you apply for a health insurance plan through HSA
for America, we immediately submit the information to the
insurance company's underwriting department. Before your policy is issued
it must be approved. This process can take anywhere from an hour, to
three or four weeks, depending on the insurance company and your particular
health history.
We monitor
your application while it is in the underwriting process, and keep you informed
every week. We use our experience and connections to make sure your
policy gets issued as quickly as possible. If any additional information
is needed, we'll let you know. We'll inform you as soon as you've been
approved, and make sure that you're happy with your coverage.
We're
Here to Help
As you've
probably noticed, our website is very complete and should answer most of your
questions. However, if you need personal assistance, we are happy to
help. You may communicate with us in the following ways.
- If you have a quick
question for us, the best way to get an answer is to fill out our contact
form. We do return emails as quickly as possible, but are often
on the phone consulting with clients and so are unable to take incoming calls.
- If you
are ready to apply, and need to talk to someone briefly
before applying, please fill out our contact
form with the word URGENT in the message, or call and ask the
receptionist to try to patch you through to a consultant. If you are
unable to reach us, tell the receptionist to mark your message as urgent,
and we will get back with you as quickly as possible. (Please note:
We do NOT do business in the following states: MA, ME, NH, NJ, NY, RI, and
VT.)
- If you
are serious about choosing a plan, and are looking at a premium of over $300
- $500 per month, you may want to schedule a consultation with us before you
sign up for a plan. We will help you fully analyze all your options,
let you know the pros and cons of the various plans you are considering, and
give you our professional opinion as to which plans will best meet your needs.
We will then help you get enrolled with the plan you choose. To learn
more about our consultation service, click here.
How
to Establish your Health Savings Account
Once
you have applied for a high deductible health insurance plan, you'll want to
go ahead and set up your Health Savings Account. You are not required
to establish an HSA, but by funding the account as soon as possible you'll be
able to take advantage of the tax-deductions and tax-deferred growth that HSAs
offer. To establish
your HSA, follow the steps below: -
First,
you will need to choose the bank or trustee that you would like to administer
your HSA. While some insurance companies offer to administer your account
(only if you have their insurance plan), you may also choose to work with
an outside, third party administrator.
For a list of companies
offering HSAs, please visit our HSA Administrator
page. There you'll find information on fees, interest rates, and investment
options.
If you plan on keeping
the money invested in an interest-bearing savings account, you'll want to
initially look at the fees that the various administrators charge, and choose
one with lower or zero fees, such as American Charter
Bank. Many of our customers choose to place their HSA funds
with an administrator that offers investment options, such as HSA
Resources or HSA Bank.
-
Once
you have chosen your administrator, you will need to download their enrollment
form. You may obtain these forms on our HSA
Administrator page by clicking on the name of the company you've chosen.
At the bottom of the administrator's web page, you can obtain their enrollment
form by clicking the link that says "Open their Application."
-
After
downloading the proper enrollment form, you will need to send it, along with
your opening deposit, to the address listed on the enrollment form.
You will receive your introductory packet, including complete instructions
on how to make future deposits and the options you have for withdrawing your
funds, in approximately two weeks.
How
to Maximize Your Tax Benefits
An
HSA plan is really a pretty simple concept. You have a high-deductible
health insurance plan, which you hope to never use. But if something big
does happen, it will protect your assets and cover your medical expenses.
But there are a few things that you should know that can make a big difference
in how much money you spend, and how much money you accumulate in your account. Because
HSA contribution limits are based on the number of months during the year in
which you have a qualifying health insurance plan, you should get your coverage
in place as soon as possible. There
are basically three different strategies you can take when deciding how to fund
your health savings account.
-
Put no money in the account (or the minimum amount required to open the account),
except when you incur a medical expense. This strategy allows you to
legally "launder" any money used to pay medical expenses.
In other words, by depositing money into your HSA, then immediately withdrawing
it to reimburse yourself for medical expenses, you are making your medical
expenses all tax-deductible. You may want to use this strategy if you
are on a tight budget and want to keep your cash outlay as low as possible.
- Fully
fund the account, or at least put in as much as possible based on your budget.
Take money out of the account any time medical expenses are incurred, and
let the rest grow tax-deferred. This strategy will maximize your tax
deduction, while making your HSA funds available to pay any non-covered medical
expenses before your deductible is met.
- Fully
fund the account, but pay all medical expenses from a non-HSA account.
Reimburse yourself for medical expenses at a later date. This strategy
will allow you to maximize your tax deduction, and will also allow you to
maximize the tax-deferred growth of your HSA. You can then reimburse
yourself, tax-free, at any time in the future for medical expenses incurred
over the ensuing years. (For an example of this strategy, see Maximize
Your HSA, Issue 3).
To maximize
the potential growth of your funds, you may want to make your HSA deposits as
early in the year as possible. Any growth in your account is tax-deferred,
like an IRA. Once
you get your health insurance plan established, you may want to set up a Health
Reimbursement Arrangement so that your business can cover the cost of your health
insurance and other medical expenses, further reducing your taxes. See
our HSA for America Additional Benefits
page for more information.
How
to Keep Your Health Insurance Premiums Low - Raise
your deductible as your HSA account grows.
When
you fund your account you build up a financial "cushion" which allows
you to raise your deductible as your account grows. Every time you raise
your deductible, your premium should go down. By
the way, don't forget that every time you fund your account you get an instant
tax-deduction. When you offset the tax savings against your premiums,
you'll find your net cost for an HSA plan can be very low. The
maximum allowable contribution goes up every year with the rise of the Consumer
Price Index. In 2010 the individual contribution limit is $3,050, and
the family limit is $6,150. So each year you can deposit greater amounts
into your HSA and continue to raise your deductible, if you choose.
- Stay
healthy, so you can switch plans.
All
health insurance plans have rate increases. If a rate increase happens
to you, you can switch to a different insurance company - but only if you pass
their underwriting requirements. If chronic disease develops, you may
be stuck with your current plan, and its accompanying rate increases, for eternity.
Or at least it may seem that long… If
you pay attention to the pharmaceutical commercials, you learn lifestyle really
has nothing to do with disease, and it is natural and healthy to be on many
medications for the rest of your life, which will then solve your health problems.
If
you pay attention to the science, you know the truth is quite different. It
appears lifestyle is probably 95% of the picture, and we know the occurrence
of degenerative disease can be dramatically reduced and even prevented. We've
found many HSA owners are interested in wellness, and disease prevention.
After all, they're paying for their own doctor visits if they do get sick.
We also believe it is because HSA owners are "forward thinking" people,
and like to plan for their future - both financial and physical. You can
improve your odds of excellent health with just a few key habits: -
Eat
very high quantities of fresh vegetables and fruits. Shoot for 35% of
your calories. This will lower your risk for diabetes, high blood pressure,
heart disease, cancer, and more.
-
Limit
your intake of sugar and starchy carbohydrates like bread and pasta.
The majority of health problems in the U.S. are related to metabolic diseases
that involve insulin resistance, a direct result of eating too many processed
foods.
-
Exercise
and lift weights. Exercise guru Jack La Lanne recently turned 93, and
he says if you have muscles you never feel old.
- Compare
your plan to other available plans at least once a year, or whenever you get a
rate increase.
Often-times
people keep their plan much longer than they should, and end up paying much
more than they should. If your rates go up, you can compare a wide variety
of plans on our Instant Quote System.
If you have your coverage through HSA for America,
we automatically do our Annual Comprehensive Policy Review, giving you
an analysis of available plans any time we are notified of a rate increase or
a change in your current situation.
- Subscribe
to Maximize Your HSA.
Maximize
Your HSA is a free monthly newsletter we publish via email, where we
keep you informed on innovative ways to lower your health insurance costs, lower
your health expenses, and maximize the benefits you get from your HSA. You
can also keep up with current news and information on Health Savings Accounts
by visiting our HSA
Blog.
How
to Reduce Your Medical Expenses and Income Taxes
HSA
for America has several free programs that give you access
to the lowest wholesale prices on lab tests, prescription drugs, and even hospital
bills. Learn how to track your medical expenses for tax purposes, and
how to establish a Health Reimbursement Arrangement to lower your taxes even
further: HSA for
America Additional Benefits.
How
to Save Money on Plans for Small Groups
Group
coverage has become quite expensive, making it increasingly difficult for the
small business owner to provide health insurance coverage for his or her employees.
An alternative we recommend for healthy small groups of less than 20 employees
is to let the employees sign up for individual health insurance coverage instead
of a group plan. Individual plans are underwritten, so not everyone can
qualify. But as a result they are much less expensive, typically costing
half of what group plans charge. The employees benefit by having permanent
coverage that they can take with them if they ever leave the business. If
you would like to help your employees with the cost of their health insurance,
in most states you can set up a health reimbursement arrangement, or HRA, which
will reimburse employees for the cost of their health insurance as a tax-free
fringe benefit. To learn more, see our Small
Group HSA Plans page.
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