WALTHAM, Mass.--(BUSINESS WIRE)--Alegeus Technologies, the market leader in healthcare and benefit payments, continues to strengthen its position as the industry’s most widely-used consumer benefit account and payments platform, now powering for more than 22.9 million consumers and 179,000 employer groups. Recent Alegeus calculations show that in 2013 its technology provided benefit account administration and card processing for more than 30 percent of the benefit accounts in the CDH market – and processed more than $7.5 billion in consumer healthcare transactions. With the unique perspective of managing this volume of activity, Alegeus has published a new infographic unveiling industry benchmarks for account growth and cost savings.
“As these numbers affirm, Alegeus provides the industry’s largest and most scalable consumer healthcare funding platform – empowering tens of millions of consumers to better manage their ever-growing responsibility for healthcare purchase and funding,” said Steven Auerbach, chief executive officer, Alegeus Technologies. “By leveraging metrics from across the Alegeus book of business, we are able to provide unique insights and useful benchmarks – giving account administrators a mechanism to better assess their own performance in account growth, card penetration, auto-substantiation rates, and efficiency of reimbursement processing.”
Alegeus continues to see increased participation and account growth for all benefit account types processed on its platform, including flexible spending accounts (FSAs), health savings accounts (HSAs), health reimbursement arrangements (HRAs), and wellness accounts. Mirroring current market trends, Alegeus is seeing particularly strong growth rates in HSAs and HRAs – significantly exceeding the overall market growth rates for those account types. Top quartile Alegeus clients averaged more than 145 percent growth in these categories.
Although industry analysts are predicting flat overall FSA market growth, Alegeus is already seeing evidence that the recent IRS policy change (allowing rollover of unused FSA funds at the end of the plan year) is influencing participant behavior. Early adopter clients that have fully embraced the carryover policy change are outpacing their peers in FSA growth – with some clients attributing high single-digit incremental FSA growth directly to the policy change.
By enabling the adoption of electronic methods of account administration, payments, communications, and self-service, Alegeus has helped its clients achieve dramatic cost savings – saving constituents an estimated $173 million in calendar year 2013 alone. Increasing adoption of mobile applications and text – coupled with the now ubiquitous nature of payments cards, the web and email – are allowing Alegeus clients to eliminate paper-based communications, reduce manual claim transactions, increase card program auto-substantiation rates, and convert check-based payments and reimbursements to more cost-effective and convenient electronic methods.
“Our clients choose the Alegeus platform because it provides the most flexibility and the broadest set of automation and self-service capabilities in the industry,” said Auerbach. “This translates into significant cost savings for our clients – and a launch pad for profitable business growth.”
To download the infographic, which benchmarks growth trends and cost drivers impacting consumer benefit accounts and payments, visit www.alegeus.com/benchmark.
About Alegeus Technologies
Alegeus Technologies is the market leader in healthcare and benefit payments - offering the industry’s most comprehensive platform for the administration of tax-advantaged benefit accounts (FSAs, HSAs, HRAs, MERPs, VEBAs, DCAPs and transit accounts), the industry’s most widely-used benefit debit card, and leading services for the outsourced management of claim payments and associated data exchange. Over 500 clients - including health insurance plans, third party administrators and financial institutions - leverage Alegeus’ deep expertise and proven technology to administer benefit accounts for more than 22.9 million members and process more than $20 billion in healthcare payments annually. As the healthcare and benefit markets continue to evolve, Alegeus delivers solutions that enable clients to evolve their service offerings, operate their businesses more efficiently, and focus on their customers. The company is headquartered in Waltham, MA with operations in Carrollton, TX, Orlando, FL and Milwaukee, WI. To learn more about Alegeus, please visit www.alegeus.com.