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In 2003 the Medicare Prescription Drug, Improvement, and Modernization Act went into place and created the Health Savings Account.
The health saving account is a high deductible health insurance plan. All medical claims go towards the deductible for the exception of wellness. All preventive and wellness procedures are covered at 100% with no cost to the insured. The best way to look at these plans is they are major medical policies that will cover you for the major claims and you are responsible for the small things.
The health savings account makes it easier for families and individual to budget for health care expenses. Once your deductible is satisfied then all eligible claims are covered at 100% depending on the plan design. With this plan there are also tax advantages.
I think everyone should look at this approach to health insurance. The health savings account engages people to look at their health care expense and I think that is very important. If you take advantage of online tools then you will discover that diagnostic test you need has a huge cost difference. The hospital might charge $2,000 and an outpatient facility charges $400. If the first $2,000 in claims comes out of your pocket I think you might want want to use the facility that charges less.
Now is the right time to entertain this approach to health insurance.
