For more stories like this, sign up for the PLANSPONSOR NEWSDash daily newsletter.
Benefits April 20, 2009
Benefits Card Increases Appeal of Tax-Favored Accounts
April 20, 2009 (PLANSPONSOR.com) - Health care
consumers report the availability of benefits cards
positively influenced their decision to sign up for
tax-favored accounts including Flexible Spending Accounts
(FSAs), Health Savings Accounts (HSAs), or Health
Reimbursement Arrangements (HRAs), according to the results
of the Evolution Benefits Consumer Experience
Survey.
Reported by Rebecca Moore
Two-thirds of the nearly 900 survey respondents indicated that availability of the card influenced their decision to sign up for the benefit, while almost three-quarters said that having a card made using their account funds easier, a press release said. The majority of consumers commented that they have encountered few – if any – problems and know exactly where the card can be used.
Card communication was rated as good to excellent. As a result, according to the announcement, 92% of the respondents said they knew where and how to use the card and which items are eligible for pre-tax treatment based on IRS guidelines. In addition, 87% of respondents found it advantageous to have point of service substantiation.
The survey was distributed to MasterCard cardholders at 10 distinct employers in various industries.