A Light at the End of the Health Care Cost Tunnel

Not long ago local a newpaper ran a story about the ever increasing cost of small employer sponsored group health insurance. Such is a very real problem, one that has been unrelenting since 1993. Why since 1993? That was the first year of Florida's mandate requiring group insurers to Guarantee Issue health insurance to small groups of fifty or fewer employees. Specific benefits and so called "Community Rating" for premium calculation were incorporated into the mandate. Today, we are seeing the results of that mandate. Unless or until the Florida legislature removes this albatross from the necks of the insurers and their policyholders, we are going to see more of the same.

Health Savings Accounts (HSA's), do offer immediate relief, however, and these are available to individuals and small employers alike. Born in January 2004, HSA's offer a combination of traditional major medical health insurance coupled with a tax free cash account to be used to pay for a long list of medical, dental, and vision related expenses.

Each HSA health insurance policy contains a minimum annual deductible, which translates into lower premiums for each insured person. HSA covered persons are able to take control of their health care dollars, using their insurance as a firewall, while paying for the "small stuff" with income tax free dollars. HSA's are not for everybody, but solo practice and small employers should at least take a look for themselves.