Can I Keep My HSA If I Don't Have a HDHP?

Check eligibility on the go — browse 7,000+ HSA-eligible products in the free app.

Keeping an HSA without a HDHP

Many individuals wonder whether they can keep their HSA (Health Savings Account) if they don't have a HDHP (High Deductible Health Plan). The answer to this question is yes, you can keep your HSA even if you no longer have a HDHP.

An HSA is linked to you as an individual, not to your insurance plan. So, whether you switch to a different type of insurance plan or even become uninsured, you can still retain and use the funds in your HSA for eligible healthcare expenses.

Yes, you can keep your Health Savings Account (HSA) even if you no longer have a High Deductible Health Plan (HDHP). The flexibility of the HSA means it's tied to you, not just your insurance plan.

Limits and what happens next

It's important to note that while you can keep your HSA without a HDHP, there are some limitations to be aware of:

• If you no longer have a HDHP, you cannot make new contributions to your HSA. However, you can still use the existing funds in your account for qualified medical expenses.
• You may be subject to taxes and penalties if you use the HSA funds for non-qualified expenses while not enrolled in a HDHP.
• If you later re-enroll in a HDHP, you can resume making contributions to your HSA.

Why this flexibility matters

Overall, the flexibility of an HSA allows you to keep and continue using the funds in your account even if you no longer have a HDHP. It provides a valuable way to save for healthcare costs both now and in the future.