Workers view healthcare as a critical issue

Workers in a recent EBRI study rank healthcare as the most critical issue facing the nation. 60% of workers report that health insurance is extremely important when considering to either stay at a current employer or choose a new job.

Benefits Ranked "Extremely important" When Considering Job Change

Health insurance
Retirement savings plan

Healthcare expenses on the rise

Approximately 30% of workers say they feel confident that they can afford healthcare without financial hardship today, but confidence decreases to 26% over the next 10 years.*

Confidence to Afford Healthcare without Financial Hardship




Over the next 10 years


Once eligible for Medicare

*Workers Rank Health Care as the Most Critical Issue in the United States. Employee Benefit Research Institute. January 2018. Vol. 39, No. 1.2017.

Strong asset growth sets new record

The number of HSAs now exceeds 22 million, holding $45 billion in assets, a year-over-year increase of 22% for HSA assets and 11% for accounts. HSAs can include both deposit and investments assets. Deposits are low-interest savings accounts where individuals have easy access to their assets. Individuals also can invest in mutual funds and stocks, similar to retirement plans.

Total HSA Assets (in Billions)

Source: 2017 Year-End HSA Market Statistics & Trends. Devenir Research. February 22, 2018.

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HSA enrollment slowed, but still sees double digit growth

While assets in 2017 saw a steady increase, the 11% account growth actually represented a decrease in growth rate year-over-year, which was a surprise to many in the industry. Devenir provided clarity around the drop in account growth (down from 20% in 2016), and found that many HSA providers closed dormant accounts throughout 2017, which could be a reason for the significant drop. Devenir estimates after accounting for the closing of dormant accounts, the 2017 adjusted growth is closer to 15-16%.

Total Health Savings Accounts (in Millions)

Source: What Happened to HSA Account Growth in 2017? Devenir Research. March 7, 2018.

More employers offering an HDHP paired with an HSA

As employers move to high deductible health plans (HDHPs) that are paired with HSAs, employees rely on payroll deduction to make contributions. Employers are the leading driver of new account growth, accounting for 41% of new accounts opened in 2017.



of all HSA contributions came from an employer



of all HSA contributions came from an employee



of all HSA contributions came from an individual not associated with an employer

Source: 2017 Year-End HSA Market Statistics & Trends. Devenir Research. February 22, 2018.

HSAs help secure financial wellness

HSAs are an important part of a saver’s overall retirement strategy as healthcare expenses continue to rise. With no "use-it-or-lose-it" rule and the ability to carry over balances from employer to employer, savers are becoming savvy on how to maximize their savings and growth potential.

retained assets from 2016 to 2017

in withdrawals

in contributions

HSAs provide growth opportunity

Future projections continue to show steady growth. Devenir estimates that by the end of 2019, total HSA assets will exceed $64 billion across 27.5 million accounts.

Estimated Total HSA Assets (in Billions)

Source: 2017 Year-End HSA Market Statistics & Trends. Devenir Research. February 22, 2018.

HSA investment assets predicted to increase

HSA investment assets have seen significant growth. However, only about 18% of all HSA assets are invested. As more account owners learn about the opportunity to invest their health savings, the overall percentage of invested HSA assets is expected to increase.

HSA Assets in Investment Accounts (in Billions)

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Investing for future healthcare needs

HSA investments were over $8 billion at the end of 2017, up 53% year-over-over—as people transition into saving and investing, combined with a strong 2017 market.

The average total balance is $16,457 (includes balances in an HSA owner's deposit and investment account), over 8 times larger than a noninvestment account owner's balance.


year-over-year increase in HSA investment assets


average account balance of HSA investment account

Education is key to understanding HSAs

A recent WEX Clear Health Insights report states that the majority of individuals surveyed believe that their employers’ 401(k) plans offer the most pretax savings benefits. While HSAs actually offer the most pretax savings, only 13% of respondents are aware of these advantages. Additionally, over half were not aware that they could invest their HSAs in mutual funds or stocks.

Were You Aware that You Could Invest Your HSA?

Source: Easing Workers' Concerns About the Rising Cost of Heathcare. 2018 WEX Health Clear Insights Report.

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