In general, Medical Savings Accounts have high deductible health plans and a medical savings account. Once you meet the yearly deductible, your plan will begin to help cover your healthcare costs. The plan deposits money into your medical savings account, which can be used to pay for your qualified medical expenses. If funds are used for non-healthcare expenses, they will be taxed as income.
The new Medical Savings Account (MSA) from Lasso Healthcare has entered its second year and is gaining popularity. The plan has four main pillars: a $0 monthly premium, no networks, no prescription drug plan, and an annual deposit.
$0 Monthly Premium
With the Lasso Healthcare MSA plan, you pay no additional monthly premium. You’ll only need to continue paying your Part B premiums.
No Networks
Unlike most Medicare Advantage plans, the Lasso MSA has no network of healthcare providers to choose from. That means you have the freedom to choose your healthcare services and providers.
Providers can choose to accept your MSA plan and agree to treat you at every visit, but you will always receive emergency care when needed.
No Prescription Drug Plan
The MSA plan has no prescription drug coverage, so you have the freedom to choose a standalone Medicare Part D prescription drug plan that covers your needs. You can use your deposit to pay for your copays or coinsurance at the pharmacy, but not to pay for the Part D premium.
Annual Deposit
The government pays Lasso Healthcare an annual deposit for your healthcare, which is deposited into the Medical Savings Account for your use on healthcare spending. The money is deposited into the account hosted by Optum Bank at the beginning of the year. Any unspent funds roll over to the next year. You access these funds through a debit card linked to your MSA bank account.
There are two choices for your MSA plan. You can choose between a Growth MSA with a $2,000 deposit and $5,000 deductible or a Growth Plus MSA with a $3,000 deposit and $8,000 deductible.
What Counts Toward the Deductible?
Only Medicare-covered expenses count toward the deductible, meaning all services covered by Part A or Part B. For covered services, you’ll pay the full Medicare-approved amount until you reach your deductible.
You can use your deposit to pay for healthcare expenses not covered by Part A or Part B, but these won’t count toward your deductible. Funds used for Qualified Medical Expenses are not taxed. The IRS defines Qualified Medical Expenses (QME) for healthcare services not covered by Medicare. These include Part D prescription drugs, vision exams, long-term care services, therapy, transportation to and from medical care, wheelchairs, and more. You can refer to IRS Publication 502 to find a full list of services and products that count as QMEs.
Additional Rewards
You can earn up to $250 more with the For Your Health program by doing three things:
- Complete a health survey, for a $75 gift card
- Share your lab results, for a $75 gift card
- See your medical provider, for a $100 gift card
We’re here to answer your questions about Medicare and can be reached at 1-877-874-0711.