elderly man with hands protecting his piggy bank While employers are turning to furloughs and pay cuts and suspending 401(k) matching, one area they're not touching is health savings account contributions. (Photo: Shutterstock)

The COVID-19 pandemic has hit U.S. businesses hard, and many companies are struggling to keep the doors open while also dealing with new compliance issues, remote workers and rising costs. While looking to cut unnecessary spending from their budgets, employee health care is one area for potential savings. But according to a report from Aite Group, health benefits accounts might be safe–for now. "The COVID-19 Pandemic's Impact on the Health Benefit Account Industry" compiles the results of interviews conducted in April 2020 with 25 HR executives across small businesses, middle-market and large-market employers, health benefit brokers, and benefit administrators.

"COVID-19's economic impact has prompted employers to take decisive cost-saving measures, impacting group insurance plans and health benefit accounts," says Inci Kaya, senior analyst at Aite Group.

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Consumer Driven Health Care
Core and Group Health
Health Care Reform
Cost-Containment
Defined Contribution