Beginning on January 1, 2006, Fallon Community Health Plan (FCHP) offers Massachusetts employers the new option of choosing a health plan compatible with a health savings account. FCHP will partner with Sovereign Bank to introduce Care Choice plans with health savings accounts. Care Choice offers competitively priced qualified high-deductible health plans, including FCHP Direct Care Choice (HMO), FCHP Select Care Choice (HMO) and Fallon Preferred Care Choice (PPO). The plan designs are built around the company’s existing products with varying networks of physicians and hospitals.

FCHP received approval from the Massachusetts Division of Insurance in June and chose Sovereign Bank as their preferred HSA vendor. To demonstrate a commitment to the new cost-saving solution, the two organizations will offer Select Care Choice plans with Sovereign Bank’s HSA to their employees for January 1, 2006. In addition, employees of the Federal government will have the option of choosing Select Care Choice in 2006. FCHP will continue to market Care Choice plans statewide.

“Our customers are looking for viable solutions to help reduce the rising cost of health care. We are pleased to partner with Sovereign Bank, a company that shares our commitment to product innovation and exceptional customer service,” said Fallon Community Health Plan President and CEO Eric H. Schultz. “Employers and employees can jointly contribute to these tax-free savings accounts and employees can then choose how to spend or save their health care dollars. This is another step toward consumer engagement.”

“Health savings accounts are changing the landscape of health care and encouraging consumers to manage their health care costs the way they see fit,” said Marshall P. Soura, Executive Vice President and Managing Director of Sovereign Bank’s Global Solutions Group. “We are proud to partner with a high-quality health plan like Fallon Community Health Plan to offer a comprehensive medical care package, alongside a health savings account.”

With Select Care Choice, premiums start at 25 percent lower than traditional Fallon Community Health Plan HMO plans. Employers can then decide to use the cost-savings by either assisting with funding an HSA or by passing along a portion of the premium savings to their employees to fund an HSA. The money in the health savings account belongs to the member to pay for current and future out-of-pocket medical expenses. Members will also receive a debit card and support tools to help them track their expenses.

Members have access to a network of over 12,000 physicians and hospitals, as well as Boston hospitals for specialty care and second opinions. Additionally, members will benefit from a $0 co-payment for routine physical exams and well-child care. Primary preventive services, such as mammograms, prenatal care, and immunizations, will not be subject to a deductible. For certain other services, FCHP will begin payment after the deductible has been met. Health and wellness programs will also be available to help maintain healthy lifestyles.

About Fallon Community Health Plan
Founded in 1977, Fallon Community Health Plan (FCHP) provides health care services designed to meet the unique and changing needs of all we serve. Our robust product portfolio includes a variety of health plan options (HMO, POS and Medicare Advantage plans, as well as a national PPO) featuring flexible and innovative benefit designs. Our carefully developed networks provide cost-effective, coordinated care and give our members access to physicians and hospitals throughout Massachusetts. We also offer a broad spectrum of health and wellness services and programs to ensure our members, at every stage of life, receive the highest quality of care. As a provider of care, FCHP sponsors a PACE (Program of All-inclusive Care for the Elderly) program, offering seniors and their caregivers an alternative to nursing home care. Because of our continued commitment to deliver high-quality health care and exceptional customer service, FCHP is consistently rated as one of the nation’s top health plans. Both our commercial HMO and Medicare Advantage plans have been awarded “Excellent” accreditation by the National Committee for Quality Assurance.