Tax-advantaged accounts allow employers to offer an attractive and reliable health benefit and savings vehicles to their employees while realizing the financial benefits that CHDP options can bring to their company.
Eagan, Minn. (PRWEB) August 07, 2013
SelectAccount announced today that the company has realized growth in sales and investment earnings for the first six months of 2013, in addition to growth in membership and increased utilization of online banking capabilities. SelectAccount, which is among the Top 10 account administrators in the country, offers a full range of services including health savings accounts (HSA), health reimbursement arrangements (HRA), VEBA accounts, flexible spending accounts (FSA), and transportation spending account administration.
According to Carol Kraft, president and chief operating officer of SelectAccount, the continued interest in consumer-directed health plans (CDHP) is fueling interest in and adoption of health spending accounts that give consumers the ability to pay for health care expenses with pre-tax dollars, and save for future health care expenses in retirement.
“Tax-advantaged accounts, like HSA and VEBA accounts, allow employers to offer an attractive and reliable health benefit and savings vehicles to their employees while realizing the financial benefits that CHDP options can bring to their company. These factors are contributing to steady growth from employer purchasers,” said Kraft. “HSAs are also becoming more popular among individuals, as they are enrolling in high-deductible health plans either through work or in conjunction with individually purchased health coverage.”
In the first six months of 2013, SelectAccount realized 5.6 percent growth in assets under management, bringing the current dollar value to $447 million. The average HSA balance as of June 30 was $1,975 for interest bearing deposits and $2,253 for the HSA product overall, including self-directed mutual fund investments. On a national basis, the average HSA balance at the end of 2012 was $1,879. Meanwhile, the average VEBA account balance as of June 30 was $2,880 for interest-bearing deposits and $3,085 for the VEBA product overall, including self-directed mutual fund investments.
“In addition to the savings potential, people appreciate the easy access to their health care dollars that health spending accounts provide,” said Kraft. “This becomes clear when you consider the fact that in the last six months, we’ve seen a 47 percent increase in the number of online HSA withdrawals and a 166 percent increase in the number of debit card transactions. Our recent and ongoing investments in technology make it possible for SelectAccount to meet today’s high consumer standards for access and self-service.”
Kraft also noted that recent enhancements to its HSA investment platform and a new-and-improved Online Member Service Center for account holders have contributed to the growth in online transactions and SelectAccount’s consistently high customer service scores. The SelectAccount Online Member Service Center allows account holders to make one-time or recurring deposits, get reimbursed for out-of-pocket health care expenses, open and manage their investment account, manage their personal profile, and track and manage claims. SelectAccount recently released a mobile edition of its web site and member service center. To learn more, visit SelectAccount.com.
MII Life, Inc., d.b.a., SelectAccount, is a Minnesota-licensed insurance company regulated by the Minnesota Department of Commerce, and approved by the U.S. Department of Treasury as a non-bank HSA Trustee. An affiliated company of Blue Cross and Blue Shield of Minnesota, SelectAccount is owned by Aware Integrated, Inc. For more than 20 years, SelectAccount has offered innovative and industry-leading spending accounts. Today, SelectAccount provides health care saving solutions in all 50 states, including service to members through 14 regional health plans and nearly 7,000 employers. SelectAccount now has approximately $446 million in consumer medical savings assets under management, making it among the largest account administrators in the country. Visit selectaccount.com to learn more.
For more information contact:
Barbara Tabor, APR