"Many who rely on flexible-spending accounts, including individuals and families battling chronic conditions with high out-of-pocket costs, will lose the full value of the benefit and be forced to pay higher taxes and health-care costs," says Joe Jackson, chairman of the Save Flexible Spending Plans coalition.
"There is always the danger when you are doing something as large as
UMB Bank Healthcare Services, a subsidiary of UMB Financial Corp. (UMBF - Get Report), provides custodial services for health-savings plans to health-care providers, including Humana (HUM - Get Report) and Assurant (AIZ - Get Report). It recently surpassed $185 million in HSA assets.
According to the Employers Council on Flexible Compensation, 40% of U.S. adults age 20 to 64 have at least one chronic disease. Those individuals, even when insured, face thousands of dollars a year in out-of-pocket costs. FSA is broken down as follows: doctor visits and hospital deductibles (43%), medicine (26%), dental needs (21%) and vision care (10%).Triplett is among those demanding that the planned cap on contributions be lifted and, in the future, be indexed to the rate of inflation. -- Reported by Joe Mont in Boston.