A High-Deductible Health Plan (HDHP) is a health insurance plan traditionally defined by lower premiums and higher deductibles. For a health plan to be considered a qualifying, high-deductible health plan, or HSA-eligible, it must meet the IRS's annual minimum deductible and out-of-pocket maximum set annually. These two amounts are indexed annually for inflation.
The health insurance plan must also be designed so that the individual or family (two or more individuals) pay the cost of healthcare up to the deductible before any insurance kicks in (preventative care excluded from this definition).1
1. “Section 223 - Health Savings Accounts.” Internal Revenue Service. https://www.irs.gov/pub/irs-drop/n-13-57.pdf.