June 6, 2006 12:39PM 

# Unnecessary Restrictions Are Holding HSAs Back 

By [Michael F. Cannon](https://www.cato.org/people/michael-f-cannon) 

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Federal law requires consumers to have a “qualified high-deductible health plan” before they can open a tax-free health savings account (HSA). Today, Sarah Rubenstein of the *Wall Street Journal* [reports](http://online.wsj.com/article/SB114953951384471779.html?mod=health_hs_health_providers_insurance) that those rules make HSA-compatible coverage more expensive than necessary.

In a recent [paper](https://www.cato.org/pub_display.php?pub_id=6395), I argued that Congress actually requires HSA holders to have a “high-but-not-too-high-deductible health plan,” and that Congress should let consumers choose their own health insurance.

##### Related Tags 

[General](https://www.cato.org/general), [Health Care](https://www.cato.org/health-care) 

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