Alegeus Technologies Offers Comprehensive Health Savings Account (HSA) Offering Through Partnership with Avidia Bank
Published on December 16th, 2013
Alegeus Technologies, the market leader in healthcare and benefit payments, today announced a new custodial integration for its Health Savings Account (HSA) platform. Through a partnership with Avidia Bank, Alegeus is able to offer clients (including health insurance plans, third party administrators, and benefit brokers) a comprehensive, market-ready and fully brand-able HSA solution. Powered by the industry-leading Alegeus HSA platform, this ‘white label’ offering addresses several critical client needs – including speed to market, feature-rich HSA processing and account servicing, and simple IRS reporting.
The Alegeus HSA solution is an extension of its industry-leading benefit account administration platform – offering clients seamless interoperability between HSAs and other tax-advantaged account types in their product portfolio (such as FSAs and HRAs). Comprehensive online and mobile account access empowers employer customers and their participants to actively manage their HSAs. Through web portals, smartphones, and tablets, participants can access interactive education, balances, funding capabilities, transaction and contribution history, investments, bill pay, statements, and more. Employers gain powerful self-service capabilities to perform account maintenance, funding and reporting tasks.
We saw this partnership as an opportunity to strengthen our position in the ‘bank-to-business’ HSA market by offering HSAs to health plans, TPAs and brokers with all of the superior customer service features their employer clients demand,” said Robert Conery, COO, EVP, Avidia Bank. “We chose Alegeus as our partner because it allowed us to seamlessly reach this audience, and provide an integrated, easy-to-use, one-stop solution with the most complete feature set available in the market. We now have the competitive edge needed to compete and win in a marketplace that is going to grow exponentially over the next few years.
With HSAs growing at double-digit annual rates and outpacing the growth of other benefit account types, it’s clear that health plans, TPAs and benefit brokers cannot afford to ignore the HSA market opportunity. As healthcare costs continue to increase, and employers shift to defined contribution health benefit models delivered via private insurance exchanges, employees become fully exposed to plan costs – which has led to dramatically different purchase decisions, and increased adoption of lower premium/high deductible health plans. As high deductible plan adoption increases, HSAs will follow.
All available market data points to significant HSA account growth in the coming years, and the Avidia Bank relationship will allow our clients to efficiently enter the market with a highly competitive and profitable HSA solution,” said Tom Torre, Alegeus CEO. “The addition of the Avidia custodial relationship is one of many enhancements we have planned over the next year. We continue to seek out partners that will make our HSA offering even more attractive to our current and future clients, as well as their employer customers.
About Avidia Bank
Avidia Bank is an FDIC insured, full-service financial institution located in Massachusetts with a focus on Health Savings Account administration. We provide private label banking as well as affinity programs, employing a partnership approach to create HSA solutions with clients’ needs in mind. We are a mutual bank with over $1 billion in assets answering to our customers’ needs and not shareholders. We offer big bank financial services at an affordable price with the personal attention provided by smaller financial institutions. We are a strategic partner with leading technology vendors such as FIS and Alegeus. Avidia Bank is committed to its independent course in an industry increasingly dominated by large, impersonal organizations. Our size combined with our strategic partners allows for a scalable solution at an affordable price.
Alegeus is the market leader in consumer-directed healthcare solutions, offering an industry-leading benefits platform, benefit debit card and mobile app that are transforming the way people navigate the U.S. healthcare system. Our next-generation technology simplifies the administration of healthcare benefit accounts (including FSAs, HSAs, HRAs, wellness incentive, dependent care and commuter accounts), and uses data-driven insights to guide consumers to the right coverage, care and savings strategies. More than 350 Alegeus clients – including health insurance plans and third-party administrators – leverage our deep expertise and proven technology to administer benefit accounts for more than 30 million members and to process more than $9.1 billion in consumer healthcare payments annually. As the healthcare and benefit markets continue to evolve, Alegeus delivers solutions that enable clients to evolve their service offerings, operate their businesses more efficiently, and lead consumers to better health and financial decisions. The company is headquartered in Waltham, MA with operations in Orlando, FL and Milwaukee, WI.