Health Care Experts
Consumer Driven Health Care Resources
Health Care FAQs
General Health Savings Account (HSA) FAQs
What happens to the funds in my HSA if I die?
If married, your spouse becomes the owner of the HSA when you die. If unmarried, the HSA becomes part of your taxable estate.
What happens to my HSA if I leave my health plan or job?
You do not lose your health coverage if you change jobs. The money in your HSA belongs to you, not to your employer, an insurance company, HMO or government agency. Money contributed to your HSA account by your former employer is yours to keep.
What is an HSA trustee or custodian?
The differences between a "custodian" and a "trustee" are minor. A trust is a legal entity under which assets are actually owned and held on behalf of a beneficiary. The trustee has some level of discretionary fiduciary authority over the assets of the fund. The trustee must exercise that authority in the best interests of the beneficiary. A custodial arrangement, on the other hand, is like a trust, but the custodian simply holds the assets on behalf of the owner of the assets. Other than holding the assets and doing as the owner orders, the custodian has no fiduciary obligations to the owner. The determination of what constitutes a trust or custodial arrangement is a determination made under state law.
What Insurers Are Offering Qualified High-Deductible Health Plans That Can Be Used With a Health Savings Account (HSA)?
Any bank, credit union or any other entity that currently meets the IRS standards for being a trustee or custodian for an IRA or Archer Medical Savings Account (MSA) can be an HSA trustee or custodian. The law also allows insurance companies to be HSA trustees or custodians. Most major Health Insurance companies, (Aetna, Blue Cross/Blue Shield, UnitedHealthcare, etc.) offer HSA's.
