How Do MSAs Work for Employees?
Medical
Savings
AccountEmployee
Out-of-Pocket100 Percent
Major MedicalUsed as first dollar
coverage for minor
and routine claims.
Employee keeps any
money left at the end
of the year.Employee's out-of-pocket
cost will be the same as
under the previous traditional
insurance or less.Comprehensive
major medical
coverage after the
deductible is met.• First Dollar Coverage: Employees can cover routine expenses without having to first meet a deductible. • Employees keep any money left in their MSAs at the end of the year while still retaining continuous major medical coverage.
• Employee out-of-pocket spending is usually less than under traditional health plans.
Source: Evergreen Freedom Foundation u
Return to More on MSAs
