Group Benefits: Understanding Healthcare Spending Accounts [HSCA]

Posted on August 5, 2010 and updated September 9, 2010 in Group Benefits, Life Insurance Canada News 2 min read
Even a small company can bring big benefits
HCSAs are a great way
to supplement group plans.

Health Care Spending Accounts [HCSA] are used to supplement the coverage provided by a traditional benefit plan. The employer contributes a defined amount of funds into an HCSA for each eligible plan member. These funds are then used to pay for health and dental expenses not otherwise covered by your group benefit or provincial health plan.

Below are four benefits which HCSA can cover:

1. Eligible expenses not covered under the company’s current benefit plan.

2. Eligible expenses in excess of the current benefit plan’s maximum.

3. Co-insurance and deductibles charged by current benefit plan.

4. Expenses for dependents not eligible under other benefit plans, but eligible under the broader Canada Agency definition of dependent health and non-health related expenses.

A HCSA adds value to your company benefit plan by:

1. Allowing your benefit plan to adapt to a changing workplace demographic and creating plan flexibility. 

2. Improving employee retention and recruitment.

3. Offering another solution for rising benefit costs.

For more details you can contact us at 1-866-899-4849 or visit our Group Benefits Online Quotes page.

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