Anthem Launches HSA

August 6, 2004 ( - Anthem Blue Cross and Blue Shield has introduced a Health Savings Account (HSA) product.

Anthem ByDesign HSA, offers an Anthem high-deductible health plan (HDHP) coupled with a custodian account that allows consumers to use checks and debit cards to pay for qualified medical expenses out of the HSA. The HSAs will be available this year, as the product is introduced throughout Anthem markets, according to a news release.

The new HSA allows employers and employees to contribute pre-tax dollars into the accounts (up to $2,600 for an individual and $5,150 for a family in 2004) and the money can be used to pay for any qualified medical expense, including over-the-counter medicines. Interest on HSAs is tax-free and unused funds roll over from year to year.

Anthem has aligned with JPMorgan Chase Bank to provide custodian services for the HSA product.   

“By marrying savings vehicles to Anthem’s qualified high-deductible health plans, we can help consumers manage their health care expenses, and plan for their retirement through the use of HSA tax incentives,” said John Prince, senior vice president, JPMorgan Treasury Services. “Pre-tax HSA contributions will reduce consumers’ taxable income while allowing them to set aside additional money for their health expenses. The money in the accounts can also be invested, allowing employees to earn more money to help pay for future health care expenses.