MINNEAPOLIS (April 30, 2008) –  UnitedHealth Group (NYSE: UNH) announced that enrollment in its consumer-driven health (CDH) plans has surpassed 2.7 million individuals at UnitedHealthcare and its affiliates (UnitedHealthcare), and for the first time more consumers are covered by a health plan connected to a health savings account (HSA) than a health reimbursement account (HRA).  The numbers illustrate a continuing rise in the popularity of HSAs, which have been offered for just four years, compared to HRAs, which have been available since 2000.

As of March 31, 2008, UnitedHealthcare’s CDH plans included 1.38 million people covered by a health plan with an HSA, and 1.34 million people covered by a health plan with an HRA.  This includes both CDH plans in the employer-sponsored market, as well as plans purchased by individuals and families.

“More employers and consumers are discovering that consumer-driven health plans, and health savings accounts in particular, are among the most effective ways to give people greater control over their health care spending and can help drive more affordable coverage,” said Meredith Baratz, vice president of Market Solutions for UnitedHealthcare’s Definity CDH portfolio.  “Consumer-driven health plans, especially when coupled with robust health information and education programs, give people the tools they need to become more informed health care consumers.  Our studies show that they get the preventive care they need to stay healthy and take a more active role in managing their health-related finances in these programs.”

More than 22,500 employers now offer a CDH plan through UnitedHealthcare.  In fact, membership through large national companies offering a health plan connected to an HSA or HRA increased by more than 325,000 participants from December 2007 to March 2008, signaling the largest new year increase in CDH enrollment for large customers since the plans became available. 

As participation in HSA-based health plans has rapidly increased, so has the related health banking activity.  UnitedHealth Group’s OptumHealth Bank (formerly Exante Bank) reported that, as of March 31, 2008, HSA deposits total $580 million.  About $25 million of those deposits have been invested in a variety of mutual fund options offered by OptumHealth Bank, reinforcing the long-term tax-advantaged savings potential of HSAs.

The rise in popularity of HSAs extends beyond employers.  In the individual market, UnitedHealthcare’s Golden Rule Insurance Company, which helped pioneer the HSA concept more than 15 years ago, says that 38 percent of its customers nationally are now covered by HSA plans.  More importantly, 40 percent of customers purchasing individual HSA-qualified plans in 2007 indicated that they had no previous health insurance coverage.

“We believe the more consumers learn about health savings accounts and how they work, the more they will understand the affordability, tax savings and control over health care spending that HSA plans offer,” said Richard A. Collins, president of UnitedHealthcare’s individual business.

About UnitedHealthcare
UnitedHealthcare (www.unitedhealthcare.com) and its affiliates provide a full spectrum of consumer-oriented health benefit plans and services.  The companies organize access to quality, affordable health care services on behalf of more than 25 million individual consumers, contracting directly with more than 560,000 physicians and care professionals and 4,800 hospitals nationwide to offer them broad, convenient access to services nationwide.  UnitedHealthcare is one of the businesses of UnitedHealth Group (NYSE: UNH), a diversified Fortune 50 health and well-being company.