BLUE BELL, Pa., Sept. 21 /PRNewswire/ -- Health care costs are exploding, and employers and employees alike are struggling to pay the increases. As health care plans evolve, employees - many of whom live paycheck-to-paycheck - are being asked to bear more and more medical costs. In fact, according to a recent report from the Kaiser Family Foundation, nearly one-quarter (23%) of Americans have had problems paying medical bills in the last year, even though more than six in ten (61%) of those who report such difficulties are covered by health insurance.
Now there’s a solution. A new guaranteed-issue, interest-free financing tool has just been introduced by E-Duction, the leading provider of payroll deduction solutions, to help employees finance their portion of escalating health care costs.
The E-Duction Health Expense Account (“HXA”) gives employees the ability to finance rising health care costs and other expenses through interest-free payroll deduction. Employers who offer the program can help their employees manage increasing out-of-pocket health care expenses with no added risk or cost to the company.
The program is simple. Employers allow their employees to sign up through E-Duction. Then, employees can use payroll deduction at will, any time a medical bill is due. There are no advance contributions to health care savings accounts required, and no financial penalty if the benefit is never used. Rather, employees receive a guaranteed-issue credit line based upon a percentage of their income, and any payments due are automatically deducted interest-free from the employees’ payroll over a pre-determined number of pay periods.
The E-Duction Health Expense Account can be customized to any company’s health care plan, including any consumer-driven, high-deductible, or traditional health care plan design.
“E-Duction offers a way to help employees pay medical bills, over time, without having to incur interest charges to meet these obligations,” says Paul Chicos, CEO of E-Duction. “For employees, E-Duction provides the peace of mind that, if an unforeseen medical cost arises, they have an additional tool to receive the quality of care they need and pay for it through the best financing option available in the marketplace - interest-free payroll deduction. E-Duction offers a solution for both employers and employees seeking to manage escalating health care costs in a responsible, less costly way.”
Mr. Chicos added, “HSAs, FSAs, and the like are a great start, but they mainly help employees already in a position to manage their rising out-of- pocket expenses. Without a credit solution for all employees, the current trend of mounting bad debt for doctors and hospitals will lead to even greater increases in medical costs for us all.”
About E-Duction
E-Duction was launched to offer employers and employees the benefits of payroll deduction through guaranteed-issue programs. With its CLEAR card program, E-Duction grants employees the opportunity to pay for goods and services on-the-spot, and repay these costs over time as payments are deducted automatically from their salary over predetermined pay periods. E-Duction’s Health Expense Account (“HXA”) offers employees and employers a financing tool that allows each to better manage escalating health care costs.
For more information about E-Duction, please contact Renee Rozniatoski at (610) 642-8253 or Renee@GregoryFCA.com.
E-Duction
CONTACT: Renee Rozniatoski of Gregory FCA Communications, +1-610-642-8253,Renee@GregoryFCA.com, for E-Duction; or Tom McCormick of E-Duction, Inc.,+1-215-371-5112, TMcCormick@E-Duction.com
