HIGHMARK UPDATE
Spending account solutions for peace of mind today and tomorrow
More and more employers are looking for creative, innovative options to help their employees and retirees not only manage health care expenses they incur now, but also set aside funds for future expenses, as well as take a more active role in their health care.
One popular option to recommend to clients is to stack products. With the flexibility afforded by our spending account solutions, there are a number of ways to stack products and plan designs to meet your clients' needs.
The most common means of stacking is to offer a Flexible Spending Account (FSA) coupled with a Health Reimbursement Account (HRA); however, Highmark offers a variety of Retiree Reimbursement Accounts that can be considered and offered in conjunction with an active employee HRA.
Stacking up savings
Here's how "stacking" works:
- FSAs are where clients' employees set aside funds for short-term health expenses. Expenses are paid from the FSA first, and then from the HRA. HRAs are also available if members use up their FSA funds.
- With HRAs, clients can add funds to employees' accounts and choose to roll over any unused funds to the following year. HRA funds can grow over time to fund longer-term health care expenses so as employees retire, their HRA dollars roll into a Retiree Reimbursement Account to pay for premiums, deductibles, etc.
More rewards, more convenience
- Clients can also reward their employees for healthy living by depositing reward money in HRAs for employees who participate in wellness programs.
- Employees have the convenience of managing their health plan and FSAs/HRAs in one place on Highmark's member website.
For additional information, please contact your Highmark client manager.
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