Bush Administration Seeks to Jump-Start HSA Proposals

摘要

The administration's fiscal year 2007 budget proposal includes proposals for expanding tax-advantaged health savings accounts (HSAs) over the next 10 years. President George Bush has touted these accounts as an important tool for controlling health care spending by placing more responsibility in the hands of the consumer. Part of the Medicare prescription drug law in 2003, HSAs are tax-favored accounts available in both the group and individual health insurance markets. The accounts, which allow individuals to save money for health care costs, must be combined with high-deductible health insurance policies (HDHPs). These HDHPs have lower premiums, meaning a potential reduction in health care costs for small businesses who offer this option to their employees.