Timeline for Why does federal law only allow HSA contributions if you have a HDHP?
Current License: CC BY-SA 4.0
8 events
| when toggle format | what | by | license | comment | |
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| Aug 31, 2020 at 21:15 | comment | added | chepner | They could, but then there would be less incentive for people to sign up for HDHPs. You are making the assumption that the IRS regulations only consider what the consumer would want. The other extreme is, why offer HSAs to anyone? | |
| Aug 31, 2020 at 21:08 | comment | added | Nosjack | Okay, that makes sense, but my main question is why does the IRS require that a HDHP is part of this? Why would the IRS want to save the insurance company money? They could just as easily allow HSAs for everyone (even with an income based deductible threshold like IRAs). | |
| Aug 31, 2020 at 20:45 | comment | added | D Stanley | My main point is I don't think it's clear-cut that HDHPs benefit insurance companies overall, but I could be wrong. | |
| Aug 31, 2020 at 20:45 | comment | added | D Stanley | OK fair enough. For me the premium savings for a HDHP has always been more than the premium difference. When you add the company HSA contribution on top of that, it's always been a no-brainer. | |
| Aug 31, 2020 at 20:31 | comment | added | chepner | There's also no guarantee that the premiums will be drastically lower. I was once offered an HDHP whose premiums were maybe 10% less than the PPO alternative (thought the PPO deductible was also barely less than the HDHP). | |
| Aug 31, 2020 at 20:27 | comment | added | chepner | For any individual plan they might lose money, but overall they are paying out less in benefits. | |
| Aug 31, 2020 at 18:56 | comment | added | D Stanley | How does a HDHP benefit insurance companies? I pay LESS overall with an HDHP due to the drastically lower premiums. | |
| Aug 31, 2020 at 18:37 | history | answered | chepner | CC BY-SA 4.0 |