A high deductible health plan is usually optimal for the unattached 20s crowd that startups tend to attract. This caps an employee's annual health expenditure t

A high deductible health plan is usually optimal for the unattached 20s crowd that startups tend to attract. This caps an employee's annual health expenditure to the amount of the deductible. Employer contributions to an HSA will further lower their health care costs. That is likely the most cost effective way to offer full health insurance. It is also competitive with what larger companies tend to offer their employees although larger companies tend to also offer an HMO option too.