FAQ

What is an HSA? Insurance Education | Medical Mutual

what is a health savings account (hsa)?

a health savings account, also known as an hsa, is a tax-exempt savings account that, when combined with a qualified high deductible health plan (qhdhp), can be used to pay for certain medical expenses . funds deposited are not taxed, and neither are withdrawals for qualified expenses.

To use an HSA with your health insurance plan, you must enroll in a QHDP, also known as an HSA-Compatible Health Plan. It’s important to know that not all high deductible health plans are qualified. The Internal Revenue Service (IRS) defines what makes a plan qualify. these requirements may change, so be sure to verify that your high deductible plan is a qualified high deductible plan.

Reading: What does hsa insurance mean

what are the benefits of having an hsa?

hsas has many benefits, such as:

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