In recent years, traditional employer-managed health care has given way to a new concept in medical cost-management known as consumer driven health care (CDH).

As the name suggests, the goals of CDH are to reduce costs for employers, empower employees to make more educated decisions about their medical care, and increase the number of employees who have access to insurance.

Consumer driven health plans are a group of plans that allow consumers to pay for certain expenses through pre-tax paycheck deductions. This gives the consumer more take-home pay, as opposed to spending the money on the same benefits on a post-tax basis.

Plans like health savings accounts (HSA), health reimbursement arrangements (HRA), and flexible spending accounts (FSA), are paving the way for this new concept. But according to research from Alegeus, a market leader in CDH solutions, most consumers are still unsure of how to take full advantage of them.

Designed by national payroll and benefits administration provider, PrimePay, LLC, the infographic below illustrates Alegeus’ findings.  It also underscores how much consumers are spending on health care, how pre-tax plans can help, and provides real examples of savings for the consumer.

To see PrimePay’s original blog post, visit PrimePay.com

Consumer Driven Health Care: Pre-Tax Dollars Save Money On Quality Coverage

Consumer Driven Health Care