Many People are debating about having a Health Savings Account (HSA) or not. Some think that HSA is a great option while others are skeptic about it. But what is an HSA anyway?

Health Savings accounts are a bit confusing because we are used to paying our doctors and hospital bills through our traditional health insurance plans. And unlike the traditional plans, HSA is easily accessible when an emergency medical condition occurs.

HSA insurance allows us to accumulate unused membership contributions to the succeeding year if we have not been hospitalized or needed medical attention for the previous year of contribution. Meaning having an HAS is like having a savings intended only for medical purposes, whatever you deposit in your account is your money and you can use this money until you consumed everything!

HSA is required to be paired to a HSA health insurance plan to be able to use the coverage benefits. Before you can have access to your desired coverage you should set up an HSA account first through an accredited bank that offers HSA.

Maybe you're a little confused with all the HSA's you are reading, but an HSA is not the insurance coverage, it is the account where you need to deposit your contribution to; just like a what you do to a piggy bank. The coverage is the HSA health insurance.

(Now to continue)After you have successfully set up an HSA account, look for an insurance company that will offer a "high deductible health plan" that you can align to your HSA. Your access to your insurance benefits and the coverage will depend on the health insurance that you will choose.

The Government sets the minimum deductible of $1,200 for an individual coverage and $2,400 for family. This minimum payments should be met by your plan deductible otherwise you will not be allowed to deposit on your HSA account; payment maybe higher than the minimum but not more than the maximum of $3,050 for individuals and $6,150 for family contributions.

Once the contributions are accepted and your HSA health insurance is active, you will be able to use your HSA funds for eligible health care cost until you reach the age of 65 in whatever medical reasons needed without any penalty and all transactions using HSA is tax free.

HSA health insurance is a great plan to have for individuals and families who rarely sees a doctor. Some of these plans may include full coverage dental insurance, although the selection of private dental insurance companies may be limited. But this plan is not advisable for a client who has a pre-existing medical condition because since an existing condition requires frequent doctor visits, the deposited account will be consumed faster and there will be insufficient funds to cover for the entire medication expenses.