HealthScore Credit Score For Healthcare Lending

HealthScore(SM) uses the unique high-deductible health plan design information, together with the consumer credit score, to create a comprehensive risk profile that is the basis for a better lending decision. Factoring in deductible amounts, out-of-pocket maximums, and other plan profile information, HealthScore(SM) calculates a three-digit score that can be used as a standalone risk indicator for healthcare lending, or may become an input to the existing credit policy of a financial institution.

"Unlike traditional consumer credit scores, HealthScore(SM) considers the new financial obligations high-deductible health plans create for consumers, which can have a profound impact on the risk profile of those households," says Anthony Banas, Chief Technology Officer of Canopy Financial. "In addition to being significantly more predictive of risk in a healthcare lending context, HealthScore(SM) can also be used to segment your member population to identify the households that would likely use a line of credit if it were in fact available to them."

HealthScore(SM) can be up to 50% more predictive of risk over traditional consumer credit scores for lines of credit paired with Health Savings Accounts (HSA). Additionally, HealthScore is integrated with the enrollment process of HealthDirect(SM), Canopy's online Health Savings Account (HSA) and Health Expense Account (HEA) administration platform, resulting in real-time credit decisions and offers at the point of HSA origination.