MSA stands for Medical Savings Account.  It's a type of health insurance plan that helps you set aside monies in a tax-free savings account to be used on your health care costs. If you're familiar with Health Savings Accounts outside of Medicare, it's a similar type of health plan. Some Medicare Advantage (Part C) plans offer the MSA feature. They have a lot of flexibility and allow you to choose your health care services and providers. Depending on your situation, it might be a good alternative.  Let's examine what it is and who it can benefit. Two parts of an MSA A high-deductible health plan, which will cover your medical costs after you reach the deductible; A Medical Savings Account in which your MSA plan deposits money you use to pay for your medical expenses. How an MSA plan works After you enroll in an MSA plan you open a bank account in a bank designated by the plan. You handle the savings account yourself. Your plan deposits a certain amount of money given … [Read more...]