HSAs, Favored by McCain, Grow in Number—Slowly

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But they are no substitute for actual affordable care.
People like to think that they are in charge of their health...the first time you have an accident or illness, despite your best efforts to take good care of yourself, you will realize that, past a certain point, you are not. Plus, all people age and suffer age-related health problems (if they are lucky! The alternative is worse!) well before they turn the magic number of 65.
Model of health until age 44...exercise, good eating, perfect weight...then Type 1 diabetes, whack, out of nowhere. HSAs are no use, and you can never change insurance again. They can raise it as high as they like, you still have to pay.
Don't think it can't happen to you. It can. Tomorrow.

calgal of CA 1:50AM February 06, 2010

@drew of CA - Did you get to keep the balance of your HSA account? For example, if you had $2000 in your HSA account when you switched jobs, did you still have $2000 in your HSA with your new Anthem plan and job?

Mark of CA 8:15AM January 13, 2010

I was in the group of uninsured but could easily afford it for 5 years. I have since been covered under an Archer MSA for the past 5 years and can say this plan best fits my needs. I am a single, healthy, about 40 years of age self employed male. Most years are great with > $150K/year income. Other years are not as great with < $20K/year income. Oddly, the better the economy, the worse my year is.
These plans allow for me to budget accordingly, are affordable and put me in charge of my own health and financial future. Because I have maintained my health and avoided accidents, I have saved enough in my MSA to not have to pay any premiums for 3-4 years of being very very sick.
The thought that these type of plans may be eliminated by some of the current health proposals saddens me.

Steven of AZ 11:52AM October 04, 2009

What they do not tell you when you sign up for these plans is that they are not transportable. I switched jobs mid-year and stayed with the same plan; Anthem even kept the same account number for my family. I had to restart my deductible all over. That is a total rip-off. Unless you are in a very stable job (and after this week in Wallstreet, I don’t know anyone who really secure) and you have real control over how your company changes its plans, avoid high deductable plans.

Drew of CA 2:17AM September 19, 2008

The company I work for provides insurance through an HSA including the high deductible plan and the funding of the account. They tell us that this scenario cost less than an HMO and in most years we've managed to save some of the money. I hasn't stopped us from getting tests or treatments but it has provided an incentive to stay healthy and hopefully on day I can get that lasik I'dlove to have.

of 3:14PM August 08, 2008

I'm not super wealthy, and I think HSAs are a good idea. I recently switched jobs and now that I'm working as a contractor, I don't have employer paid medical insurance. Shopping around for a private medical plan is a nightmare. I eventually settled on a HSA because with the high deductible plan, I can limit my out of pocket expense in the case of an unexpected serious illness. The HSA portion of the plan allows me to budget my medical expenses in a tax free savings account. Because I've started this while I'm young and healthy, I expect as I get older and have more serious medical expenses, I will have a lot of tax free money available to pay since I am probably not using it now. I need medical insurance right now to cover an unexpected emergency (appendicitis or the like), but I'm doing my best to try and avoid the things that cause high health care costs. Exercise, eat fruits and veggies, and an annual checkup to make sure everything is in check.

Cathy of WA 12:07PM July 02, 2008

HSA's are just another way of big brother to keep track of your money. You may want to be herded around like cattle but as for myself I invest my money the old fashion way ,in Mason&Jar so it will not be taxed and penalized to death.

Scott myers of NC 6:16PM June 24, 2008

The idea that HSA's are advantages only to the wealthy is completely BOGUS. I am a slightly above average earner. Virtually all of my health care premium that used to go right to the insurance plan now goes into my HSA account to cover expenses. Without making any of my own contributions to the account, about half of my annual deductible isalready covered. I don't believe most people understand this aspect of the plans. if you don't need that money during the year, guess what, you get to keep YOUR money instead of putting it to the bottom line of the providers. The plans do encourage a healthier lifestyle. I can understand how that would be a drawback to many of the couch potatoes we have in the US.

SA of FK of IN 10:00AM May 05, 2008

I'm happy to say that I've had a high-deductible health plan with an HSA for about 3 years now. Although I wasn't able to accumulate much money in my HSA the first year, because I needed the account balance to pay for my share of the costs for gallbladder surgery, I still believe that it is the right plan for me and for this nation.
Most of these high deductible plans give you an incentive to stay healthy by covering a yearly "checkup" with your primary care physician. This helps alert you to potentially costly and deadly medical problems before it's too late. Most people only go see a doctor when they have symptoms and by then, a condition or disease that was minor has become a costly and possibly deadly problem.
Of course their are those with conditions like multiple sclerosis and juvenile ( Type 1 diabetes ) who have costly conditions due to no fault of their own. To make high-deductible plans more appealing to those people, perhaps the government should give them a refundable tax credit equal to the deductible on their plan. This would make sure that those who have medical conditions due to no fault of their own will not have to suffer financially, while those who choose to be careless with their health pay significantly.

Myles of NY 10:40AM May 03, 2008

We don't really have Health Insurance in this country. It is prepaid health expences.
If you don't need it, you lose it.
More recently, as in my own experience, it is not entirely prepaid as I now must also give up a so-called Co-Payment.
The usual complaint regarding the so-called uninsured is that when they have a hangnail, they take it to Emergency. These are the healthcare spendthrifts.
I have a suggestion for anyone who has some doubts about the healthcare situation. Visit any large Medical Facility. You will find that a majority of the patients are older persons. This might be, in part, a result of Medicare. However, it is primarily because it is the older persons have more health problems. I know this because I am one of them.
When I was young, I hardly ever needed a Doctor, and then it was for a broken bone or as the result of an accident.
In my view, many young families understand this and have opted out of the so-called health insurance rip-off.
The HSA is first of all a SAVINGS ACCOUNT. We are told that we should save more in this country. Why not save for that rainy day? Kill two birds with one stone. Keep control of your own money?

Frank of CA 3:33PM May 02, 2008