Wendy’s employees save with HSAs
June 4th, 2008 | by Brian T. Schwartz |Linda Gorman, Director of the Independence Institute’s Health Care Policy Center has a new report: ”Why Milwaukee Health Care Costs are High: What to Do About It.” (Her summary us here.) It’s chock full of good references and analysis on how people with different levels of health can save with Health Savings Accounts. Here’s her summary of how Wendy’s used HSAs:
Wendy’s International, Inc. shifted to an HSA based health insurance plan in 2005. It contributes about 60% of the deductible to each employee’s deductible, and covers preventive care at 100%. The percentage of employees who had had a physical increased from 50 percent in 2004 to 75 percent in 2005. Participation rates have remained the same, and 60 percent of participants contributed personal funds to their HSAs. At the end of 2005, 90% of the HSA accounts had balances of about $600. By the middle of 2006, the average balance was $760. In the first year of operation, Wendy’s health care claims decreased by 14 percent. Costs, including deposits to employee HSAs, increased by 1 percent in 2005.
This is based on the congressional testimony of Jeff Cava, Executive Vice President of Human Resources and Administration for Wendy’s, linked here.
You might also like:
