The House of Representative’s Committee on Ways and Means approves bills to provide Americans with more value for pre-tax funds and improvements in healthcare coverage.
SAN MATEO, Calif., July 20, 2018 (GLOBE NEWSWIRE) -- The House Committee on Ways and Means recently approved several bills designed to modernize consumer-directed health plans as a means of lowering costs and expanding access to healthcare coverage. Jody Dietel, Chief Compliance Officer for WageWorks (NYSE: WAGE), testified at the Committee’s most recent Health Subcommittee Hearing, and utilized WageWorks’ data and insights in her testimony.
“The nature of our services and diverse client base allow WageWorks access to valuable data related to Health Savings Accounts,” said Jody. “The compelling insights drawn from this data have helped Congress enact meaningful policy changes and address issues such as healthcare eligibility.”
The reforms considered by the Committee expand rules for Health Savings Accounts (HSAs), thus removing some barriers of HSA adoption and use. The data and insights presented by WageWorks to shape several of the reforms include:
- HSAs are not primarily used by highly-paid employees. Instead, the median household income for our HSA account holders is $57,060.
- Nearly 77 percent of those contributing to an HSA were born after 1965, belonging to the Gen Z, Millennial and Gen X demographic. Only about 22 percent of our participants are Baby Boomers.
- Over the last seven years, amounts ranging from 25 to 35 percent of annual contributions are carried into the next year for future out-of-pocket expenses. At the same time, 66 percent of transactions and 69 percent of spending is on both inpatient and outpatient care at healthcare providers, while almost 33 percent of transactions and 13 percent of spending is attributed to prescription drugs.
- Access to telemedicine allows patients to save transportation costs and time; provides access to care of individuals living in rural areas and other underserved locations; and, reduces the need for individuals to miss work due to doctor’s appointments and other medical care.
“One of the most important ways WageWorks helps clients anticipate and manage changes related to Consumer-Directed Benefits is through our continued advocacy and leadership on policy issues,” said Edgar Montes, President and CEO of WageWorks. “As an industry leader, we appreciate the opportunity to share our unique expertise with lawmakers to inform legislation impacting our industry, employers and millions of Americans.”
WageWorks (NYSE: WAGE) is a leader in administering Consumer-Directed Benefits (CDBs). WageWorks is solely dedicated to administering CDBs, including pre-tax spending accounts, such as Health Savings Accounts (HSAs), health and dependent care Flexible Spending Accounts (FSAs), Health Reimbursement Arrangements (HRAs), as well as Commuter Benefit Services, including transit and parking programs, wellness programs, COBRA, and other employee benefits. WageWorks makes it easier to understand and take advantage of Consumer-Directed Benefits for about 85,000 employers and approximately 6.5 million people. WageWorks is headquartered in San Mateo, California, with offices in major locations throughout the United States. For more information, visit www.wageworks.com.
VP, Corporate Communications
Director, Corporate Communications