What Happens to Your HSA if You Change Insurance Companies?

Many people wonder about the fate of their Health Savings Account (HSA) when they switch insurance companies.

Firstly, it's important to note that HSAs are portable and belong to you, not your insurance provider. So, even if you change insurance companies, your HSA remains intact, and you retain full control over it.

When you switch insurance carriers, the following can happen to your HSA:

• Your HSA funds are still accessible for qualified medical expenses.
• You can continue to make contributions to your HSA, provided you are still enrolled in a High Deductible Health Plan (HDHP).
• If your new insurance is not an HDHP, you can still use your existing HSA funds but cannot make further contributions until you switch back to an HDHP.

It's crucial to keep track of your HSA contributions, withdrawals, and expenses to ensure compliance with IRS regulations.

Are you considering changing your insurance provider and feeling anxious about your Health Savings Account (HSA)? Don't worry! HSAs are designed to be portable, which means they're yours to keep, no matter who your insurance company is.