Health Insurance Plans For Small Businesses Through Employee Health Savings Accounts–Can They Offer Lower Costs?

There are some individuals who are currently turning to employee health savings accounts, which come with a high deductible health insurance plan, as a way to lower the costs that they must meet if a medical emergency were to arise, but some small businesses are offering this particular type of health insurance plan to their workers, as a traditional employer group health insurance option may simply be too costly. Yet, for employers who own a small business, it’s even more difficult for a traditional health insurance plan to be made affordable if they have men and women in their workforce who may have preexisting conditions or have made claims that have caused their health insurance costs to rise over time.

What these high deductible health insurance and health savings accounts may offer is more affordability due to the fact that most high deductible options will come with lower premium payments on a monthly basis and, for workers who may not need a great deal of health care attention throughout the year, meaning they do not require medical attention or doctor visits that often, this can be a more affordable route in terms of their coverage options. Understandably, this is just one of many health insurance programs that a small business employer could implement and, as a result, should not be used without proper research into how it will impact an employer’s workforce.

Yet, the idea is that a worker will be given certain coverage options under a small business health insurance plan, particularly these high deductible plans, and while there are some major costs that will likely be covered, like a medical emergency or a long stay in the hospital, smaller costs like a routine checkup may not be covered under this plan, but there are some high deductible insurance providers that will offer coverage or discounted rates for preventive medical treatment.

What the policyholder is able to do though, is put money aside in a health savings account which can accrue over time and, if small medical treatments are needed that may be a few hundred dollars or more, which again will not necessarily reach the deductible of a high deductible health insurance plan, money that has been put into this account can be used by the policyholder so that costs they must meet out-of-pocket can be paid by these specific funds.

It goes without saying that this policy is not for everyone, as there are some men and women who may have conditions or medical needs that will exhaust any health savings they may have and if a numerous amount of visits are made throughout the year a consumer may find that they are either unable to save money in this health savings account or they are quickly using what they have set aside. However, a small deductible plan is more cost-efficient for some businesses and individuals simply because it will help guard against these high costs that may come if an accident occurs or a specific procedure is needed, but even in these cases money that has been set aside in this health savings account may be useful as a policy holder can use their savings to meet their deductible as well.