Creates Tax-Free Health Savings Accounts

HR10908-119 · Introduced Oct 26, 2026

Why it matters

Patients could save more for health costs tax-free, while insurers would face a 30-day deadline for coverage decisions. Excess contributions would be taxed.

What it does

  • Creates tax-exempt Universal Savings Accounts for individuals, with a $10,000 yearly contribution limit
  • Adjusts the $10,000 limit each year for inflation after 2026
  • Taxes contributions above the limit, with a special rule for amounts returned before the tax due date
  • Requires insurers to approve or deny prior authorization requests within 30 days
  • Requires denials to be sent in writing through a secure portal

In committee

Next: a committee vote

  1. Introduceddone
  2. Committeecurrent step
  3. Housenot yet
  4. Senatenot yet
  5. Presidentnot yet

About this bill

Would create tax-free Universal Savings Accounts capped at $10,000 a year and require insurers to decide prior authorization requests within 30 days.

Ending Patient Runaround Act

AI draft

Perspectives

💬 The case for

Savings groups would likely say the accounts help people pay health costs. Patient groups may welcome faster insurance decisions and same-specialty reviews.

💬 The case against

Some insurers would likely say the 30-day deadline adds paperwork and cost. Consumer groups may worry tax-free accounts mostly help higher earners.

Sponsored by

Sponsor details for this federal bill are at the source link.

News

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