Harvard Pilgrim Health Care in Wellesley, Mass., said Wednesday that it has chosen Mellon Financial Corp.'s human resources and investor solutions unit to be its health savings account provider.
Mellon is to provide administration and investment services to participants in Harvard Pilgrim's HSA program. These accounts let employees set aside pretax income to cover qualified medical expenses.
Mellon will establish the employee HSAs, provide record keeping, and deliver customer service through call centers and Web access. Its HSA services feature a selection of mutual funds available through its Dreyfus Corp. subsidiary, employee education, and enrollment, as well as checkbooks and debit cards to pay for health services.
HSAs are portable health savings accounts people can use to pay for qualified medical expenses in conjunction with a high-deductible health plan that provides security against catastrophic medical costs.
On March 16, Mellon announced an agreement to sell its human resources consulting and outsourcing business to Affiliated Computer Services Inc. in a transaction that is expected to close during this quarter.
Harvard Pilgrim Health Care is a nonprofit health plan offering a variety of benefit options and funding arrangements in Massachusetts, New Hampshire, and Maine.
