OAKLAND, CA – Kaiser Permanente has been selling its health savings accounts in California since August, but the product rollout only became effective on January 1.
During the last few years, Kaiser has rolled out its HSA product in other states and regions, including Colorado, Georgia, the Pacific Northwest and the mid-Atlantic states. It’s now playing catch-up in California with its Custom Care HealthInvestor HSA.
Kaiser is looking to attract younger and healthier consumers, representing a change in the traditional makeup of those enrolling in the healthcare organization.
“Basically, we have been a one-product, one-stop shopping organization,” said spokesperson Beverly Hayon. “For us, the concept of marketing came relatively late to Kaiser Permanente.”
Kaiser has spent several years creating an infrastructure and training to develop and support a new insurance product. “This has been a large undertaking,” said Hayon. “California is a big region, which makes things more complicated here.”
Even though Kaiser tarried while other large health plans rushed to provide HSA products to their members, Hayon said Kaiser has increased its enrollment and now has more than 8.6 million members nationwide.
Kaiser will be rolling out its Custom Care HealthBuilder HRA (health reimbursement account) and a deductible HMO plan.
While Wells Fargo administers the HealthInvestor’s savings account component, Kaiser lets members open a savings account with a financial-services HSA provider.