The term high-deductible wellbeing plan (HDHP) alludes to a health care coverage plan with a sizable deductible for clinical costs.
While monthly premiums for an HDHP are typically lower than for a typical health plan, an HDHP typically has a higher annual deductibletypically four figures.
Each year, the minimum deductible varies. The IRS characterizes a HDHP as one with a deductible of something like $1,600 for people and $3,200 for families in 2024, or $1,650 and $3,300, separately, in 2025.
A health insurance plan with a high deductible and lower monthly premiums is known as an HDHP.
Health savings accounts (HSAs) with tax advantages are only available to HDHPs.
People in their 20s and 30s who are in good health and do not anticipate needing health insurance other than in the event of a serious health emergency are best served by an HDHP.
HDHPs may be advantageous for wealthy individuals and families who are able to pay the high deductible out of pocket and desire the advantages of an HSA.
By raising people’s awareness of the cost of medical expenses, HDHPs are thought to reduce overall costs associated with health care.
