Why Consider a High Deductible Health Plan (HDHP)?
A High Deductible Health Plan (HDHP) is a popular choice because they have lower premiums (what you pay for your health plan) and a tax-advantage health savings account (HSA).
The deductibles are high but the premiums are lower than similar health insurance plans that have a lower deductible. If you're generally healthy and don't have medical expenses beyond annual physicals and preventive exams, a HDHP could save you several hundred dollars or more a year!
Take Control of Your Healthcare Costs
With a HDHP, you pay a larger portion of your healthcare expenses to achieve the benefits of discounted premiums and costs. Thus, it can encourage you to be more cost-conscious and adopt a proactive approach to making informed decisions on your healthcare. This way, you can shop around for the best prices on medical procedures or medications and make the most of the tax-advantage HSA that comes with the HDHP Veritext offers.
Offers Flexibility with Lower Healthcare Needs
HDHPs are a great option for individuals and families with lower healthcare needs that desire flexibility. Veritext's HDHP offers lower premiums, enabling savings on insurance costs while still providing coverage for unforeseen medical expenses.
Tax-Advantage Savings Account
When enrolled in a HDHP, you can take advantage of a tax-free account - Health Savings Account (HSA). Any contributions made to the account (by either Veritext and/or you) are tax-deductible and the funds can grow tax free. Withdrawing funds tax-free is also possible if used for qualified medical expenses. Using an HSA can reduce taxable income and save money on healthcare expenses. By taking advantage of this option, individuals can effectively manage their healthcare expenses - such as out-of-pocket costs, copayments and coinsurance, with ease and save money in the process.
Free Money
Veritext contributes the following amounts to your Health Savings Account (HSA) each year (quarterly installments, pro-rated for mid-year enrollments):
- $750 for Employee Only
- $1,500 for Employee + Spouse
- $2,000 for Employee + Children/Family
You may use these funds to pay for qualified medical, dental, vision and pharmacy expenses throughout the year or utilize the funds in case of an emergency. At the same time, you may save this money in case you don't need it for the future. Funds roll over from year to year!
When a HDHP makes sense:
01
You're healthy and rarely get sick or injured.
02
You have no existing medical conditions.
03
You can afford to pay the high deductible out of your pocket if an unexpected medical expense arises.
04
You want to be eligible for the tax advantages of an HSA.
05
A great benefit to pair with a supplemental accident plan.
