Sovereign Bank has announced a plan to offer a health savings account product that the Philadelphia bank says it will market to employers and their employees, insurance companies, and third-party administrators.
Participants in Sovereign's HSA program are to be able to contribute to their accounts through automatic payroll deductions or by regular mail, the company said on Monday. Employers may also contribute to their employees' accounts.
The Sovereign HSA also includes a debit card and checks to pay for qualified medical expenses. Customers can gain access to their accounts on the Internet or by phone. HSA participants also have telephone access to customer service representatives.
An HSA is a tax-free account that lets people save for qualified medical expenses not covered by a high-deductible health plan.
Sovereign's HSA offering is to become available next year through employers' health insurance providers.
