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Click Here For More Information How does a Health Savings Account (HSA) Work?  The concept is SIMPLE. An HSA allows you, the consumer, to take the savings you receive on premiums when switching to a higher deductible health plan and deposit them into a tax-free HSA Account to use for out-of-pocket medical expenses. If you don't spend this money, you keep it, not the insurance company. After all, it's your money!