HEALTH SAVINGS ACCOUNT ARRANGEMENT EXAMPLE

This is an actual case of how an HSA arrangement helped a small business and its employees.

Former monthly costs through October 2007:

* 42-year-old employer and spouse - BCBS policy -- $562 per month
* Their two children - previously on Medicaid but would no longer qualify
* 25-year-old employee - BCBS individual policy -- $130 per month
* 25-year-old employee - uninsured for four years

Total monthly employer costs -- $692 per month
HSA arrangement beginning November 1, 2007:

* Employer, spouse and two children - High- deductible HSA policy -- $255 per month. Couple funds their own HSA with $200 per month.
* 25-year-old -- $67 per month. Employer funds HSA with $30 per month.
* 25-year-old -- $67 per month. Employer funds HSA with $30 per month.

Total monthly employer costs -- $649 per month, but covering six people instead of three.