How does the HIP 2.0 POWER account work?
In the HIP program, the first $2,500 of covered medical expenses is paid for out of a special savings account called a Personal Wellness and Responsibility (POWER) account. The State will pay most of this amount, but each month, members are also required to make a small contribution. These POWER account contributions can be made by the member's employer and/or a not-for-profit organization. HIP members will have the opportunity to choose a health plan that will manage and track the POWER account and collect the member's portion each month.
The contributions you make to your new POWER account will be yours. If you choose to leave the program early, your contributions not spent on health care costs may be returned to you. Since your contributions are based on a projected annual amount, leaving the program early may also result in you being required to pay the contributions for the remaining months of the enrollment period. This may occur if you had significant health care expenses before leaving the program.
Managing your account well and getting preventive care can reduce your future costs. In HIP 2.0, if your annual health care expenses are less than $2,500 per year you may rollover your remaining contributions to reduce your monthly payment for the next year. You can also double your reduction if you complete preventive services.
For more information, please contact us by filling out the FSSA Contact Form (please specify "HIP Inquiries" for how your inquiry should be directed) or call toll free: 1-877-GET-HIP-9.