HSA Bank Report Shows Consumers are Not Saving for Healthcare

News provided by

Dec 04, 2019, 12:17 ET

MILWAUKEE, Dec. 4, 2019 /PRNewswire/ -- HSA Bank, a division of Webster Bank, N.A., released a report today addressing challenges consumers face with paying for routine healthcare services. According to the report, over half of Americans are not saving for healthcare, and one in five insured are not confident they can cover an unexpected medical expense in the next year.

The report also reveals consumers are more likely to save for healthcare expenses if they have a higher income and an HSA-eligible health plan. Roughly one-third of consumers with a household income over $75,000 are saving frequently for healthcare, which is more than the average consumer (25%). Additionally, 37% of consumers insured under an HSA-eligible health plan are most likely to save frequently for healthcare, compared to consumers enrolled in other plan types, like PPOs (29%) and HMOs (25%).

The breakout report also shows consumers are not reviewing costs prior to receiving routine medical services like doctors' visits, diagnostic tests and lab fees—common services consumers struggle to pay. In fact, only half of Americans consider the cost before receiving services with 26% listing "frequently" and 22% listing "occasionally."

"Ultimately, consumers can become better prepared for healthcare costs by increasing their financial awareness through things like price transparency tools and engaging in healthy financial habits like contributing to an HSA," stated Chad Wilkins, president of HSA Bank. "Consumers that are more engaged and educated about their healthcare options can be empowered to make better financial decisions for the future."

To learn more about the road to financial security for health-related costs, download the report.

About the Study
A survey of 2,000 randomly selected U.S. adults ages 18+ was conducted in order to gauge physical and financial health across the country. It was designed to provide participants with an overall health and wealth consumer index score. The survey was commissioned by HSA Bank and executed by a third-party organization. The margin of error for this sample size is +/- 2.18% at the 95% confidence level. Smaller subgroups have larger margins of error. The report is available online at hsabank.com/index2019.

About HSA Bank:
HSA Bank is a trusted leader in consumer-directed healthcare (CDH), focusing on Health Savings Accounts (HSAs) for over two decades and serving as both the bank and administrator. Discover how we can support your benefits strategy with our comprehensive account-based health benefit solutions that include HSAs, Flexible Spending Accounts (FSAs), Health Reimbursement Arrangements (HRAs), Commuter Benefits, COBRA Administration, and HSA investment solutions such as HSAdvisor+. With a reputation for outstanding service and thought leadership in the CDH space, we offer one platform and one portal for all of our members. HSA Bank inspires nearly 3 million members and more than 35,000 employer groups to "own your health" by making it easy to access, understand, and afford healthcare. As of September 30, 2019, HSA Bank has $8.2 billion in total footings (assets) comprising $6.3 billion in deposit balances and $1.9 billion in assets under administration through linked investment accounts, and is a division of Webster Bank, N.A., Member FDIC.