Health savings accounts (family HSA health insurance) have become increasingly popular. Premiums are generally low, and you generally have great flexibility when choosing providers. HSAs allow you to deposit pre-tax income into a savings account, which can then be used to cover health expenses. However, they may not be the best family health insurance in every situation.
Although the family health insurance quote you receive is low, it does not take deductibles or co-insurance amounts into account. In many cases involving younger and healthier people, such plans are ideal; but families made up of various age groups–especially children, who are more likely to visit the doctor regularly–will often find them more difficult to manage. Most family HSA plans expect you to pay a certain percentage of the doctor’s fee per visit, as opposed to a nominal co-payment.
In addition, health savings accounts are usually attached to high-deductible family health insurance plans. This means that a family may have to pay $10,000 or more annually before their coverage kicks in and pays the rest. Despite that pitfall, families should remember that they can fulfill the deductible with the tax-free savings in their HSA.
