MINNEAPOLIS — Devenir, a national leader in providing investment solutions for health savings accounts (HSAs), released today the results of its 16th semi-annual health savings account survey and resulting research report. Devenir found HSAs grew to an estimated $51.4 billion in assets across more than 23 million accounts halfway through 2018.
The survey data was collected in July of 2018 and primarily consisted of top 100 HSA providers in the health savings account market, with all data being collected for the June 30th, 2018 period.
Key findings from the Devenir 2018 Midyear HSA Survey and resulting research report:
- HSA assets exceed $50 billion. HSA consumers had accumulated $51.4 billion in their HSAs at the end of June, a year over year increase of 20.4%. Devenir expects this number to grow to $54 billion by the end of 2018.
- Steady account growth. The total number of HSAs grew to 23.4 million at the end of June, up 11.2% from a year ago. The account growth in the first half of 2018 was in-line with recent years. Overall, accounts grew by 5.2% in the first half of 2018, compared with 5.0% in 2017, 8.5% in 2016, and 5.5% in 2015.
- HSA investment assets approach $10 billion. Backed by a strong market, HSA investment assets reached an estimated $9.8 billion at the end of June, up 45.1% year over year. The average investment account holder has a $16,007 average total balance (deposit and investment account).
- Fewer unfunded accounts. Less HSAs (15%) were unfunded at the midway point of 2018 compared to 20% at the same time in 2017.
- Employer relationships are the largest driver of account growth. Direct employer relationships are the leading driver of new account growth, accounting for 42% of new accounts opened in the first half of 2018.
“We have seen continual consumer adoption of HSAs and it’s exciting to see that collectively, account holders have saved over $50 billion for their future healthcare expenses,” said Jon Robb, senior vice president of research and technology at Devenir.
Devenir projects that, by the end of 2020, the HSA market will approach $75 billion in HSA assets covering more than 29 million accounts.
Click here to view the Executive Summary
Projections derived from 2018 Midyear Devenir HSA survey, press releases, previous market research, and market growth rates. Projections are barring any regulatory or market environment changes.
Forward-looking statements are based on current expectations and assumptions based on historical growth, the economy, other future conditions and forecasts of future events, circumstances and results.
Devenir is a national leader in providing customized investment solutions for HSAs and the consumer directed health care market. When health savings accounts first emerged in 2004, Devenir built its expertise around delivering cutting-edge investment solutions. As the consumer driven health care industry grew, so did Devenir’s reputation as a leading researcher and award-winning investment consultant. Today, Devenir continues to lead the way in the rapidly growing HSA market. A research driven perspective makes Devenir the go-to investment advisor, HSA investment platform and consultant to employers, banks, third party administrators, health plans and technology providers. Learn more at devenir.com