Description of Sterling HSA Services

Online Enrollment and Account Management

The Sterling HSA interactive site is now live to serve you! You may now enroll online. Account Holders may make deposits and take disbursements through our eChecking service. Other features include the ability to log-in and review account information, calculate contribution amounts and many other on-line tools. Explore the new site today and enroll online. Please call us toll-free at (800) 617-4729 or email us at customer.service@sterlinghsa.com for information and other help you may need to complete your registration.

Education About HSAs and Account Set-up

Employee meetings to educate, enroll and establish health savings accounts at an employer worksite, via web cast, telephonically, or on a one-to-one basis with individuals who are self employed.

Account Contribution Management

Collection and accounting of individual and employer contributions. Reporting of interest earned from self-directed and Sterling cash management investments.

Record Keeping

Data collection and record keeping of deposits and disbursements. Notification to account holder if deposits exceed the maximum amount allowed by law and/or distributions that do not appear to meet the IRS definition of qualified medical expenses.

Bill Paying Services

Payment of health care service bills (based on Explanation of Benefit) to providers with prior approval from individual account holders or as a reimbursement to the account holder.

Investment Options For Money In Your Hsa Account

Sterling offers account holders several options for investing funds in HSA accounts. The content below is provided for information purposes only. It is not intended nor should it be construed as any advice, recommendation, or endorsement from Sterling HSA regarding investment, legal, tax, or other matters.

Self-Directed: For the experienced or independent investor, self direct your investments at Sterling using the broker or dealer of your choice. The optimum in flexibility.
Preferred Client Investment Support: If you don’t have a broker or dealer, Sterling has made arrangements with Partnervest Securities, LLC to offer investment services at a discounted fee for Sterling HSA clients. Contact Sterling Customer Service for more information. An option with more support for our account holders.
Funds to Consider: While you are free to invest in any IRS approved vehicle, many mutual funds choices are available for your consideration. Morningstar offers a rating and information service regarding these funds. Free analysis, ratings and quotes are available at www.morningstar.com

Sample Portfolios: Sterling clients have suggested a sample portfolio for those who wish to minimize time spent in researching investment options. The following is offered as an example of such a portfolio. As always, Sterling clients may choose this or another portfolio and are free to use Partnervest or another brokerage:

Manager	Mutual Fund	Objective
Alliance Bernstein	Money Market	Money Market
Pimco	Managed Bond	Bond
Franklin Templeton	Income Fund	Balanced
T. Rowe Price	Growth Equity Portfolio	Equity Income
Phoenix Investment	Partner Select	Growth and Income
American Funds	Growth Fund of America	Growth

If desired, account holders may also have access to a full service Partnervest advisor, who can assist them in the architecture of these funds into a customized investment program based on their own individual risk tolerances, time horizon and objectives.

Current Interest Paid on Sterling HSA CD Investment Option:

INTEREST RATE TABLE Effective March 19, 2008
Interest Tier	Interest Rate	APY%
$15,000 or higher	1.98%	2.00%
$10,000- $14,999	1.74%	1.75%
$5,001- $10,000	1.25%	1.26%
$501- $5,000	0.75%	0.75%
Below $500	0.00%	0.00%
Interest rates are subject to change

Two Product Choices—Sterling Standard and Value Plans

The Sterling Standard Plan provides our complete range of administrative services for a single fee. It is the most efficient and simple selection because it allows us to provide every aspect of HSA account management and gives you the greatest benefit—peace of mind that everything is handled for you.

The Sterling Value Plan offers a menu approach to our services so that you select the ones most important to you and pay transaction fees for the account management services that you choose.

The Sterling eSavings Plan offers an even more economical approach to HSA administration. Sign up, make deposits, withdrawals and receive your reports, all on-line in a paper free environment. Everything is done electronically. By choosing this option you incur the lowest monthly maintenance fees while electing to self-manage everything on-line.

FSA, HRA and COBRA BENEFITS Administration Through Igoe

Through an agreement with Igoe & Company, Inc., we now provide our clients with access to benefit plan administration for FSAs, HRAs and COBRA products as well. Together, Igoe and Sterling provide the expertise to educate brokers, employers and plan participants on all of these products to simplify the process and documentation.

Personalized Customer Service

Service is provided by Sterling HSA via phone at (800) 617-4729 Monday—Friday from 8 a.m. to 6 p.m. Pacific Time, via email at customer.service@sterlinghsa.com and via mail to our corporate office:

475 14^th Street, Suite 120
Oakland, CA, 94612

Account Statements

Quarterly statements for HSA account holders and employers are provided to keep them well informed about account activity. This information is now available on-line. Go to the Login section of this Web site and access statements using your personal log-in information. If you need help, call us at (800) 617-4729 Monday—Friday from 8 a.m. to 6 p.m. Pacific Time.

Money Back Guarantee

If for any reason our account holders become dissatisfied with Sterling HSA services, we will refund to them all monthly account management fees paid, up to one year.