How does an HSA-Compatible High-Deductible Health Plan (HDHP) work?
An HSA-compatible HDHP is your health coverage with Western Health Advantage. This plan provides you and your family with health insurance at lower monthly premiums.
The health savings account (HSA) is the financial component (the account that holds your funds). It provides you a tax-free* way to save and pay for qualified medical expenses, such as doctor visits, prescription drugs and other medical services and supplies.
Whereas, a traditional health care plan has high monthly premiums but low to no deductible. An HDHP works the opposite way, providing you with the opportunity to use this savings to fund your HSA. The advantage is, when you spend less than your HSA savings, that money is yours to keep and invest in the future.
Learn more about the value of an HSA by watching HealthEquity's "Winning with an HSA":
*Tax savings are at the federal level only. Please consult your tax advisor for more information. If you choose to use your HSA funds for non-qualified medical expenses, these withdrawals will be subject to taxes and penalties5.
Frequently Asked Questions
Your deductible is the total amount you will pay annually for certain covered medical and prescription services and supplies before WHA will cover expenses.
Copayments are typically smaller dollar amounts or percentages. Some plans will always have you pay a copayment for a service while other plans only require one once you reach your annual deductible.
Once your deductible and copayment costs reach your annual out-of-pocket (or OOP) maximum, you are done paying for expenses. WHA will cover 100 percent of your covered services for the remainder of the calendar year.
Western Health Advantage partners with leading service providers to ensure that our members get the best rates available. This means that you’ll enjoy consistent savings on your health care services and supplies.
Use our medical service cost estimator tool to see what is the estimated cost of a specific service you intend to receive.
Yes, payments you make for prescriptions covered under your plan will apply to your deductible and OOP maximum. It’s important to note that covered prescriptions must be obtained from a participating provider and must be run through WHA’s contracted pharmacy benefit manager in order to be applied. Prescriptions obtained from a non-participating provider are limited to urgent or emergent situations.
Be sure to present your WHA member ID card to your provider. If a copayment is due at the time of service, you can use your HSA debit card to pay from funds you’ve deposited in your account. Keep all of your receipts in a safe place.
In most cases, you will be billed for covered office visits, labs and other health care services. These bills are qualified medical expenses and can be paid out of your HSA.