High deductible health plans becoming widespread

As premiums on traditional plans continue to skyrocket, more and more people are turning to high deductible plans to save money on premiums.

Almost 20% of employees had deductibles of 1,000 or more in 2008, compared with only 12% one year sooner.

Of course, not everyone would qualify $1,000 as a "high" deductible, but in our practice, we are seeing an increasing number of individuals opt for deductibles of $2,500 or higher.

As this article from the Atlanta Journal Constitution indicates, an increasing number of high deductible plans are being used as part of consumer driven health care plan designs, which means that a tax-advantaged account is used in conjunction with the high deductible plan. Usually, this will mean a health savings account, but in some cases, a health care reimbursement account can be used in conjunction with high deductible plans.