Increasingly, people are using health savingsaccounts. The number of HSAs increased 29 percent as ofthe end of 2014, reaching 13.8 million, according to new industryfigures.

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Assets held in HSA accounts grew 25 percent to $24.2 billion atthe end of the year, the 2014 Year-End Devenir Research HSAResearch Report said.

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Previous figures from Devenir, reported in August, pegged thenumber of HSA accounts at 11.8 million.

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The investing consulting firm projects the HSA market willsurpass $40 billion in assets held in almost 30 million accounts bythe end of 2017.

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Its report is the latest indicator of continued growth for thehealth savings vehicle, which has been increasing in popularitysince its inception a decade ago.

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The Devenir report also found:

  • In 2014, health plans were the leading source of new accountgrowth, accounting for 35 percent of growth.

  • HSA investment assets reached an estimated $3.2 billion inDecember, up 40 percent year-over-year. The average investmentaccount holder had a $12,995 total balance (deposit and investmentaccount).

  • Investors achieved an average annualized return of 12.5 percenton their HSA investments over the last three years.

Devenir survey data was collected in January and primarilyconsisted of the top 100 HSA providers in the market.

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One of those, UMB Healthcare Services, reported last month thatit surpassed $1 billion in health savings account deposits andassets after growing 36 percent in the past year.

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