South Carolina-based financial services company First Federal has stepped out of the traditional role of a branch bank to offer unparalleled health savings account (HSA) services to account holders, employers and benefit brokers.
The bank’s mission for its HSA program is to be the premier community resource for HSA by helping customers lower health care costs, live healthier lifestyles and become conscious health care consumers with HSAs.
“We believe HSAs are a great way for employees and employers to migrate to lower cost, high-deductible health plans,” said Scott Stamps, First Federal’s HAS business development officer. “It’s a wonderful tool that can reduce company health care expenses, which allows employers to offer a better benefits package to employees. The HSA offers employees added flexibility, choices, and tax advantages.”
Under Stamps’ direction, the company has created a strong program that includes consulting for HSAs with more than 100 benefit brokers, insurance agents, TPAs, and employees. Providing employee education is one of the pillars of a successful HSA program. As such, Stamps provides on-site enrollment and educational meetings with employer groups during open enrollment period.
He also conducts interactive HSA educational workshops for employees throughout the year and hosts employer consultations, including account opening and payroll funding assistance. A partnership with PilotHSA brings enhanced HSA services that include integration of health insurance plan information, along with Form 8889 tax reporting assistance. Stamps also coordinates online enrollment for individuals and groups.
“We find that many employees purchase traditional PPO-type plans and never utilize the extra coverage that they are paying for,” Stamps said. “Also, many employers want to encourage participation in the high-deductible option but have trouble showing employees the value provided by lower premiums, tax advantaged savings, and many times, lower maximum exposure for major health-related expenses. Education is essential to making sure they’re fully aware of the many coverage benefits offered by an HSA. We want them to get their money’s worth.”
In addition, Stamps has created a consistent, quality HSA client support system that meets customer needs on an ongoing basis. “First Federal HSA clients have full access to the bank’s financial center staff, our Customer Service department, and detailed information online,” he said. “It is imperative that the HSA client feels fully supported. Most of our financial centers have an ‘HSA expert’ who has the experience and knowledge to open and consult on HSAs.”
First Federal operates a network of 65 offices and employs 885 staff members who receive consistent HSA training and have access to HSA resources. “Our five years-plus experience of offering HSAs to our own employees has provided us with a wealth of knowledge in working with other employer groups to provide HSAs. We hear firsthand the issues that surface when employees need assistance making the decision to move to a consumer-directed option or throughout the year as the HSA and health insurance are used to pay for health care expenses.”
Senior management at First Federal demonstrates support of the HSA program by actively promoting high-deductible health program options in the company’s health plan. The company now has more than 50% of eligible employees choosing a high-deductible plan option.
- Company: First Federal
- Headquarters: Charleston, SC
- Website: www.firstfederal.com
- No. of employees: 885
- Nature of business: Owned by First Financial Holdings Inc., First Federal operates 65 financial centers in the Charleston metropolitan area, Horry, Georgetown, Florence and Beaufort counties in South Carolina, and in Brunswick, New Hanover and Pender counties in North Carolina. The company also provides insurance and brokerage services through First Southeast Insurance Services, The Kimbrell Insurance Group, and First Southeast Investor Services.
Key executives:
- A. Thomas Hood, president
- R Wayne Hall, CEO
- Dale Hall, executive vice president and chief banking officer
- Blaise Bettendorf, chief financial officer
- Rick Arthur, executive vice president, Retail Banking
- John Golding, executive vice president, Commercial Banking
Key solution providers:
- Benefit Administrators Inc., medical and dental benefits administration
- CWI Benefits, claims