Lincoln Financial Group introduces comprehensive health savings solutions for plan sponsors

Rhea-AI Summary

Lincoln Financial Group launches expanded suite of health savings solutions for employee financial wellness

Positive

• The comprehensive offering now includes a fully integrated Health Savings Account (HSA)
• 45% of Americans surveyed say covering out-of-pocket medical expenses of $500 or more would be a financial hardship
• Healthcare costs projected to increase by an average of 5.4% annually over the next decade
• HSAs paired with high-deductible health plans (HDHPs) can help contain rising expenses and meet employee needs
• 60% of employees chose to enroll in an HSA-qualifying health option
• Lincoln's HSA offering provides streamlined administration and investment flexibility
• Enhanced employee recruitment and retention
• Triple tax savings
• Flexibility to use funds for eligible healthcare expenses and retirement savings
• Lincoln continues to expand its financial wellness program through its proprietary financial wellness tool and marketplace

Negative

• None.

New solution supports financial wellness, including medical expense management and retirement readiness, for employers and employees.

RADNOR, Pa.--(BUSINESS WIRE)-- Lincoln Financial Group (NYSE:LNC) announced today the launch of an expanded suite of health savings solutions designed to empower retirement plan sponsors with a holistic approach to employee financial wellness. The comprehensive offering now includes a fully integrated Health Savings Account (HSA) that serves as a tax-efficient tool to manage qualified medical expenses, achieve savings and pursue retirement readiness.

Research shows that 45% of Americans surveyed say covering out-of-pocket medical expenses of $500 or more would be a financial hardship.¹ With healthcare costs projected to increase by an average of 5.4% annually over the next decade, employers are increasingly turning to HSAs paired with high-deductible health plans (HDHPs) as a strategic solution to help contain rising expenses and meet employee needs.² The HSA allows employees to set aside pre-tax money for eligible healthcare expenses and it can also be used to save for retirement. When given the opportunity, 60% of employees chose to enroll in an HSA-qualifying health option.³

“In the US, financial wellness is tied to overall health. Lincoln’s health savings solutions provide a comprehensive, integrated approach to both. By offering HSAs as part of their benefits package, plan sponsors can empower their employees to take control of their financial future, effectively managing healthcare expenses today while building a robust retirement savings nest egg,” said Ralph Ferraro, senior vice president, Retirement Plan Services, Lincoln Financial Group.

HSAs are an integral part of Lincoln’s health savings solutions, offering numerous advantages for employers and employees:

• Streamlined administration and investment flexibility
• Enhanced employee recruitment and retention
• Triple tax savings
• Flexibility to use funds
• Holistic financial wellness support

Lincoln’s new HSA offering is powered by industry leading vendors, WEX (NYSE:WEX) and BPAS (Benefit Plan Administrative Services).

The HSA offering is just one way Lincoln is making benefits more beneficial for employers, employees and their families. The company continues to expand its financial wellness program through its proprietary financial wellness tool, Lincoln WellnessPATH®, and Lincoln’s Financial Wellness Marketplace. Visit Lincoln’s health savings solutions page for more information.

WEX and BPAS are not affiliates of Lincoln Financial Group.

¹ Lincoln Financial, Consumer Sentiment Tracker, April 2022
² “NHE Fact Sheet,” Centers for Medicare & Medicaid Services, 2022, https://www.cms.gov/Research-Statistics-Data-and-Systems/Statistics-Trends-and-Reports/NationalHealthExpendData/NHE-Fact-Sheet
³ Plan Sponsor Council of America – 2022 HSA Survey.

About WEX

WEX (NYSE: WEX) is the global commerce platform that simplifies the business of running a business. WEX has created a powerful ecosystem that offers seamlessly embedded, personalized solutions for its customers around the world. Through its rich data and specialized expertise in simplifying benefits, reimagining mobility and paying and getting paid, WEX aims to make it easy for companies to overcome complexity and reach their full potential. For more information, please visit www.wexinc.com.

About BPAS

BPAS is a national provider of retirement plans, benefit plans, fund administration, and collective investment trusts. We support 4,500 retirement plans, $110 billion in trust assets, $1 trillion in fund administration, and more than 620,000 participants. Since 1973, we’ve made it our mission to simplify the complicated by delivering benefit plan services that solve client challenges without the need to engage multiple providers. The BPAS family of services includes Workplace Retirement Plans, Actuarial & Pension, Health Benefit Consulting, IRA, VEBA HRA, Health & Welfare Plans, Fiduciary, Collective Investment Funds, Fund Administration, and Institutional Trust. As a solutions-oriented national practice, we are committed to “Solving Tomorrow’s Benefit Challenges Today.” Visit bpas.com for more information.

About Lincoln Financial Group

Lincoln Financial Group provides advice and solutions that help people take charge of their financial lives with confidence and optimism. Today, approximately 16 million customers trust our retirement, insurance and wealth protection expertise to help address their lifestyle, savings and income goals, and guard against long-term care expenses. Headquartered in Radnor, Pennsylvania, Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE:LNC) and its affiliates. The company had $290 billion in end-of-period account balances net of reinsurance as of June 30, 2023. Lincoln Financial Group is a committed corporate citizen included on major sustainability indices including the Dow Jones Sustainability Index North America and ranks among Newsweek’s Most Responsible Companies. Dedicated to diversity, equity and inclusion, we are included on transparency benchmarking tools such as the Corporate Equality Index, the Disability Equality Index and the Bloomberg Gender-Equality Index. Committed to providing our employees with flexible work arrangements, we were named to FlexJobs’ list of the Top 100 Companies to Watch for Remote Jobs in 2022. With a long and rich legacy of acting ethically, telling the truth and speaking up for what is right, Lincoln was recognized as one of Ethisphere’s 2023 World’s Most Ethical Companies®. We create opportunities for early career talent through our intern development program, which ranks among WayUp and Yello’s annual list of Top 100 Internship Programs. Learn more at. Follow us on Facebook, Twitter, LinkedIn, and Instagram. Sign up for email alerts at http://newsroom.lfg.com.

LCN-6013325-101023

View source version on businesswire.com: https://www.businesswire.com/news/home/20231019515158/en/

Media:

Tammy Myrick

Lincoln Financial Group

743-208-4106

Tamala.Myrick@lfg.com

Source: Lincoln Financial Group

FAQ

What is the new offering launched by Lincoln Financial Group?

Lincoln Financial Group has launched an expanded suite of health savings solutions that includes a fully integrated Health Savings Account (HSA).

What percentage of Americans say covering out-of-pocket medical expenses of $500 or more would be a financial hardship?

45% of Americans surveyed say covering out-of-pocket medical expenses of $500 or more would be a financial hardship.

What is the projected annual increase in healthcare costs over the next decade?

Healthcare costs are projected to increase by an average of 5.4% annually over the next decade.

How can HSAs help contain rising expenses and meet employee needs?

HSAs paired with high-deductible health plans (HDHPs) can help contain rising expenses and meet employee needs.

What percentage of employees chose to enroll in an HSA-qualifying health option?

When given the opportunity, 60% of employees chose to enroll in an HSA-qualifying health option.

What are the advantages of Lincoln's HSA offering?

Lincoln's HSA offering provides streamlined administration and investment flexibility, enhanced employee recruitment and retention, triple tax savings, and flexibility to use funds for eligible healthcare expenses and retirement savings.

How is Lincoln expanding its financial wellness program?

Lincoln is expanding its financial wellness program through its proprietary financial wellness tool, Lincoln WellnessPATH®, and Lincoln's Financial Wellness Marketplace.