Monday, March 19, 2007

NC Small Business Insurance Pool Threatens HSAs

Health Savings Accounts which promised to help keep insurance premiums down face an uncertain future in North Carolina. State laws that govern the state's small business health insurance pool does not allow signifcant rate relief for those businesses who choose a HSA-Qualified High Deductible Health Plan. As a result, small businesses who choose these types of consumer-driven health plans face the same double-digit premium increases as those who choose more traditional co-pay health plans. The state rating model contains no adjustment factors to allow health insurance companies to give more significant discounts to HSA plans. "I can't honestly recommend HSA plans to my employer groups and asked them to help fund their employees HSA accounts if they get the same increase as my traditional co-pay health plans next year" says I.M. Broker.