Rather, the savings resulted from reduced use of optional services and cost-based selection among competing providers. One of the most serious concerns about health insurance today is the loss of coverage due to a change in jobs or the loss of a job. Medical savings accounts are completely portable. With an MSA, funds would be available to pay for health care during temporary interruptions in employment. Moreover, expenses paid out of the medical savings account would entail no insurance administrative cost.
Insurance is a very inefficient way to pay for small or routine health expenses.
Medical savings accounts would cut insurance companies out of the vast majority of health care transactions, thereby reducing both the overall cost of health care and the paperwork burden on doctors. Other Advantages Saving money. When people purchase medical care with funds in an MSA they would be spending their own money rather than someone else's. As a result, they would tend to become careful, prudent customers in the medical marketplace. Restoring the doctor-patient relationship.