Is Health Savings Account Working Effectively?

Is Health Savings Account Working Effectively?

Introduction

This essay is based on my opinion that Health Savings Account is working effectively or not. The 2003 Act on Medicare and prescription drugs has created a new option called as Health Savings Account (HSA) which has existed from 1996 to 2003. HSA's are used to save the cost of health care. It can be accessed by people aged fewer than 65 who are not covered by another health plan whose benefits would duplicate those offered under the HSA. HSA is both a health insurance policy which covers serious illness, prolonged hospitalization or particularly difficult times in terms of health. The funds set aside in the account that can be used to cover personal medical expenses, to pay insurance premiums during periods of unemployment, and to cover any medical expenses during retirement (Bonello & Lobo, 2012).

I believe that health savings accounts are a good starting point for a reform of health care. I believe that the reform must strengthen and extend public health care system. Its main aim must be not to threaten the public and maintain the universal nature of the health savings accounts system. Health Savings Account is designed to increase the number of private stakeholders in the system using government grants to be distributed to people. There is a vital need that governments should choose single payer services so that no one is excluded from the system. The health savings accounts would change all that.

Discussion and Analysis

I believe that the health savings accounts are described as the new method of financing that will save the Medicare system. Health Savings Account is just another way to save people from the burden of healthcare costs. These are the people who will individually make important decisions about health care services and if the Health Savings Account does not cover these services, they will pay for this care out of pocket or buy insurance. It allow people to decide where they want to receive the care they need, the health savings accounts create the conditions for the opening of the market for public health care to private providers. Some people believe that health savings accounts will reduce the cost of health care. But I perceive that even if one argues that health savings accounts will reduce the cost of healthcare, it is very difficult to understand. Governments continue to bear ...