The Basics of an HSA Mid-Year Transition

June 10, 2020

The decision to change Health Savings Account (HSA) administrators is a big one for you and your employees. And that decision takes on even greater significance in the middle of a plan year. That’s because an HSA mid-year transition has its own unique set of challenges to work through. We’ve outlined what this transition looks like to help you better understand what to look for should you choose to find a new HSA home before your plan year expires.

What is an HSA mid-year?

An HSA mid-year describes the process of changing HSA administrators at any point in the middle of your plan year. Factors that might lead you to change administrators before your HSA’s plan year expires include:

  • Disruption in your current administration that requires you to change to a new online account platform or HSA custodian.
  • Improved customer service for you and your employees through a new administrator.
  • Enhanced user experience with your new administrator, such as finding one that doesn’t require participants to use multiple debit cards or multiple apps.

What should you and your employees expect during a mid-year transition?

The key to a successful transition starts with one important factor: communication. Your new HSA administrator should provide a detailed outline of what you and your employees should expect during the mid-year transition. Your new administrator’s communication plan should include:

  • Welcome emails and letters introducing the new administrator and next steps.
  • Rotating banners in their online accounts so employees can learn more.
  • Personalized add-on communication options.

What should you and your employees expect once the transition is complete?

Your administration experience once the HSA mid-year transition is complete is just as important as the transition itself. Communication is also key post-transition, because it encourages participation, which helps you and your employees save money. When shopping for a new administrator, choose one that provides simplified savings built on innovation, empathetic customer service with flexible ways to contact and helpful tools and resources that put information at your fingertips.  

We’ve helped employers navigate through thousands of mid-year transitions and are experienced in setting them up for success during and after a transition. Our proven strategy includes comprehensive communication throughout the process, easy-to-follow takeaways and add-on communications through our Custom Communications Solutions. And, once the transition is completed, we offer:

Would you like to learn more about what an HSA mid-year transition would look like with us? Complete the form below to get your free playbook and handout.

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