The cost of health care is of course raising greatly, in response to that reality, a federal savings program was started in the U.S. HSAs, a federal savings program started two years ago, are used with insurance policies that include annual deductibles of at least $1,050 for an individual or $2,100 for a family.

These savings accounts bear interest, are tax-sheltered and used together with high-deductible insurance plans.

Contrary to some of the "flexible benefit" plans offered by some companies, the money put into the HAS does not have to be used by the end of the year. It is allowed to stay in and continue growing, and can be used for future qualified medical and retiree health expenses on a tax-free basis.

According to the government site there are some guidelines to qualify for this account

"You must be covered by a High Deductible Health Plan (HDHP) to be able to take advantage of HSAs. An HDHP generally costs less than what traditional health care coverage costs, so the money that you save on insurance can therefore be put into the Health Savings Account."

What is a HDHP?

Sometimes referred to as a "catastrophic" health insurance plan, an HDHP is an inexpensive health insurance plan that generally doesn't pay for the first several thousand dollars of health care expenses (i.e., your "deductible") but will generally cover you after that.

In addition to the deductibles I already mentioned above, they add:

The annual out-of-pocket (including deductibles and co-pays) for 2005 cannot exceed $5,100 (self-only coverage) or $10,200 (family coverage). For 2006, these amounts increase to $5,250 and $10,500, respectively. HDHPs can have first dollar coverage (no deductible) for preventive care and apply higher out-of-pocket limits (and co pays & coinsurance) for non-network services.

This account is totally directed and owned by you. You make all the decisions on how to allocate the funds. There are no third parties of health insurer that is involved. You also have the freedom to decide the types of investments to make with your money to get the best growth.

You can usually get into a plan through banks, insurance companies, credit unions and some employers.

The plan itself costs nothing, as it is a savings account. You deposit your money on a tax-preferred basis. The only thing that you spend money on is the High Deductible Health Plan, which are relatively inexpensive.

Take a good look at these; they could be a tremendous hedge in times when you really need it.