The U.S. government offers employers and employees tax advantages linked to their health plans. High-Deductible Health Plans (HDHPs) typically feature lower premiums and higher deductibles than traditional insurance plans. As of 2018, HDHPs are plans with a minimum deductible of $1,350 per year for individual coverage and $2,700 for family coverage.
The big advantage of an HDHP, though, is that members can set up a Health Savings Account (HSA) to pay medical costs. An employee could set aside a sum from each paycheck in pretax funds, and then pay for medical services from the HSA. For 2018, members can contribute up to $3,450 for individual coverage plans and $6,900 for family coverage plans towards their HSAs.