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January 11, 2009
New Georgia Law on Health Savings Accounts
HB 977: Health care
This new law, that went into effect Jan 1, 2009, relates to health plans with high deductibles and associated Health Savings Accounts. The idea is to give health coverage to more uninsured Georgians. Under such plans, consumers pay high deductibles, but get tax breaks for putting money into savings accounts to be used for health care. The new law exempts insurers from paying taxes on premiums in the sale of the high-deductible savings account plans. That would save health insurers $146 million in tax breaks over the next five years, according to consumer groups.
Proponents say the law will spark competition among insurers to sell the plans, making them cheaper. Critics said the new law is essentially a tax giveaway to insurance companies that sell the plans.
Posted by Wiley Long at January 11, 2009 12:24 PM