Health Savings Account (HSA)
The Health Savings Account (HSA) is a health care plan made up of two different parts.
- A medical plan that covers eligible health care expenses after you meet your deductible.
- An actual savings account that both you and Alcoa can contribute to.
Any contributions into the account are yours, and they earn interest. If you ever leave Alcoa, you take the entire account—money contributed by both you and Alcoa—with you. This is a great way to save money to pay for eligible health care expenses even after you retire.
What You Need to Know
- The deductible and out-of-pocket maximum work differently than other Alcoa medical plans.
- They include both medical and prescription drug costs.
- If you cover two or more people, you must meet the family levels and not the individual levels.
- This plan was designed for employees who have low to moderate medical expenses, and for those who want to save tax-free for medical expenses.
- There are higher out-of-pockets costs in this plan, but Alcoa puts money into an interest-bearing account to help you cover your out-of-pocket costs, and you can save money in the account too.
Your In-Network Out-of-Pocket Costs
- Routine preventive care: Free
- Primary Care Physician office visits: 10% after the deductible
- Specialist office visits and Emergency Room visits: 10% after the deductible
- All other eligible services: 10% after the deductible
- Deductible: $1,500 for employee only or $2,500 for two or more people (this includes prescription drugs)
- Out-of-pocket maximum: $3,000 for an employee only or $4,500 for two or more people (this includes prescription drugs)
To help cover your out-of-pocket costs, Alcoa puts $400 in an interest-bearing account if you cover only yourself or $800 if you cover two or more people.
Plus, you can add to this account—in 2013, you can save up to $2,850 pre-tax if you cover yourself or $5,650 if you cover two or more people. Employees over age 55 can save even more—up to an additional $1000 in "catch-up" contributions.