Medical Savings Accounts (MSAs)
Instant Health Insurance Rates
- Owners have to set up another checkwriting account
- Must fund their MSA account
- Health costs must be paid for only from the MSA account
- Claims must be made to the company holding the MSA account
- Must be linked to a $1,500 to $4,500 deductible plan
- Policyholders can't contribute the full amount of the annual deductible
- MSA owners past age 65 withdraw MSA funds and may pay income taxes (if liable)
- Withdrawals prior to age 65 may incure a 15
percent excise tax (if liable)
- Owners may delay health care before reducing their account
- Deductible plans cost slightly less than no deductible policies
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