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This article appears in the October 2009 issue of Cards&Payments.
HSA adoption and use are highest when employers offer to contribute funds to employees' accounts, industry insiders say.
Indeed, participation nearly doubles when employers contribute to accounts, says Chad L. Wilkins, CEO of UnitedHealth Group's OptumHealth Financial Services' OptumHealth Bank, which markets HSAs through more than 15,000 employers.
On average, employers tend to contribute about $1,000 annually to employees' HSAs, according to Optum research
"It can be difficult at first glance for employees to understand HSAs, but they pay attention when they hear their employer is going to help seed the account, and HSA accounts with employer contributions tend to see more overall usage," Wilkins says.
Card networks in recent months have stepped up their efforts to help banks market HSAs more effectively to prospects.
MasterCard Worldwide this year developed an HSA marketing kit, including customizable online tools that banks can adapt to their Web sites and Internet advertising campaigns, along with posters, post cards and information sheets. "For the first time we have a fully integrated marketing toolkit issuers can use to promote HSAs through all business channels," says Daniel Cohen, MasterCard vice president of health care solutions.
Visa Inc. last year updated its HSA marketing materials, says Stacy Pourfallah, Visa senior business leader for health care products. "This year we have seen more issuers take our materials and adapt them to all kinds of different media and channels ... They are reporting growing success with them," she says.
