HealthEquity, Inc., incorporated on October 18, 2002, is a provider of a range of solutions for managing healthcare accounts (Health Savings Accounts (HSAs), Health Reimbursement Arrangements (HRAs) and Flexible Spending Accounts (FSAs)) for health plans, insurance companies and third-party administrators. The Company is engaged in technology-enabled services platforms that allow consumers to make healthcare saving and spending decisions. The Company's platform provides an ecosystem where consumers can access their tax-advantaged healthcare savings, compare treatment options and pricing, evaluate and pay healthcare bills, receive personalized benefit and clinical information, earn wellness incentives and make educated investment choices to help in their tax-advantaged healthcare savings.
The Company's products and services include healthcare saving and spending platform, health savings accounts, investment advisory services, reimbursement arrangements and healthcare incentives. Its ecosystem primarily consists of HSA, a financial account through which consumers spend and save long term for healthcare on a tax-advantaged basis. The Company's customers include individuals, employers of all sizes and health plans. The Company's Health Plan Partners and Employer Partners collectively constitute its Network Partners. The Company is an Internal Revenue Services (IRS) approved non-bank custodian of its members' HSAs.
Healthcare saving and spending platform
The Company offers a cloud-based platform, accessed by its customers online through a desktop or mobile device, through which individuals can make health saving and spending decisions, pay healthcare bills, compare treatment options and prices, receive personalized benefit and clinical information, earn wellness incentives, grow their savings and make investment choices. The platform provides users with access to services it provides, as well as services provided by third parties selected by it or by its Network Partners. Among other features, the platform includes the capability to present to users medical bills upon adjudication by a health plan, including details, such as the amount paid by insurance, specific nature of the medical service provided and diagnostic code. Users of the platform can pay these bills from an account of the Company's or from any bank account, online, through a mobile device, or using its payment card. All users of the platform gain access to its healthcare consumer specialists, available every hour of every day, through a toll-free telephone number or e-mail.
Health savings accounts
An HSA is a tax-exempt trust or custodial account managed by a trustee that is a bank, an insurance company, or a non-bank custodian specifically authorized by the United States Department of the Treasury as meeting certain ownership, capitalization and governance requirements.
Investment advisory services
The Company offers an online-only investment advisory service to all of its members. This service is entirely elective to the member. The advisory services are delivered through a Web-based tool, HealthEquity Advisor, which is offered and managed by its investment advisor subsidiary, HealthEquity Advisors, LLC. HealthEquity Advisors, LLC provides investment advice to its clients through the HealthEquity Advisor tool on the Website. HealthEquity Advisor provides guidance and management, including how much cash (liquidity) to maintain in an HSA and how to diversify optimally among available mutual funds. The Company offers over three levels of service to investors: Self-driven, in which the Company provides mutual fund investment platform to invest HSA balances; GPS, in which HealthEquity Advisor provides guidance and advice, but the member makes the final investment decisions, and Auto-pilot, in which HealthEquity Advisor manages the account and implements portfolio allocation and investment advice automatically for the members.
Reimbursement arrangements
Reimbursement arrangements (RAs) include HRAs and FSAs. The Company administers HSAs and HRAs on its technology platform. An HRA is administered by any third-party administration (TPA) firm. RAs are employee benefits wherein an employer provides a fixed dollar amount of reimbursement for qualified medical or dependent care expenses. Payments must be substantiated with electronic claims from a health plan, data gleaned from operation of its payment card where permitted or submission of receipts or other documentation by the employee. RAs have the tax benefit that, similar to HSAs, their value may be excluded from employees' gross income for federal and state income and employment tax purposes. RAs are not portable, any remaining value is lost upon termination of employment, but is subject to COBRA requirements. An HRA must be paid for entirely by the employer with no salary reduction, is integrated with a medical plan and allows unused benefits to be rolled over from year to year. An FSA is paid for entirely through salary reduction from the employee, is a stand-alone, voluntary offering and is subject to use or lose restrictions.
Healthcare incentives
The Company allows its Employer Partners and Health Plan Partners to offer and its members to earn, financial incentives for participation in wellness programs. Its technology platform includes a financial incentives framework and integration with various wellness providers used by its Network Partners. Once earned, incentives may be deposited directly into an HSA, RA or cash account, with Network Partner-specific messaging. Its platform routes incentives to the right type of account to maintain tax compliance, including creating and routing funds to an RA where an HSA Member is ineligible to receive HSA contributions due to disqualifying coverage.
The Company competes with Webster Bank, Optum Bank, Wells Fargo Bank and Payflex Systems USA, Inc.
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The company trades on NASDAQ exchange. The company headquarter is located in Utah, UT. The company was established in the 2002.| Ticker | HQY |
| Long Name | HealthEquity, Inc. |
| Short Name | HealthEquity |