Cease and Desist for Faith Based Health Care Company

[Crabcake Johnny]

"A Texas-based insurer has been told to either properly license in Idaho or stop doing business here.

A hearing officer for the Director of the Idaho Department of Insurance ordered Altrua Healthshare to cease and desist operations in the Gem State. Atrua calls itself a faith-based health-care membership organization, but the DOI determined that the company indeed issued insurance contracts and must conform to the requirements of Idaho law.

Altrua must give its Idaho members 60 days advance notice of termination of membership. To continue doing business, the Austin, Texas company must file for, and receive, a certificate of authority from the Department of Insurance to become a licensed entity in Idaho."

Idaho Department of Insurance to Texas Insurer: Cease and Desist | citydesk

 

[Norwayguy]

Gee where is that guy that was pimping the exemption for faith based programs.

 

[Crabcake Johnny]

Altrua HealthShare

"Altrua HealthShare is not health insurance. Altrua HealthShare is a nationwide faith based membership of individuals who share in each other's medical needs by bearing the burdens of others."

Apparently Idaho disagrees.

http://altruahealthshare.com/documents/MonthlyContributionRequest.pdf

This is a classic example of "if it walk like a duck..." People are paying monthly premiums and they're offering benefits such as office copays. Forget about the cease and desist - we need an AG investigation into stuff like this.

 

[somarco]

we need an AG investigation into stuff like this.

Which is almost always what happens. The DOI has very little real power over these kind of organizations other than to investigate and then turn over the AG for prosecution.

 

[arnguy]

Here's another one:

"Devilish "Christian" insurer. Puget's Sound Agricultural Society sold bogus auto coverage while claiming to be a "Christian" organization. The California outfit refused to pay many valid claims. A homeless bicycler received only $6,000 despite serious injuries after being rammed by a Puget's Sound insured. A severely hurt motorist won $20 million in another case. But the insurer merely sent the motorist a bogus document "authorizing" the U.S. government to pay up. James Kalfsbeek received 10 years in prison."

Above is an excerpt quoted from an article about the Insurance Hall of Shame that appears on this link: www.ifawebnews.com.

 

[bluemarlin08]

I have come across several of thes faith based coverages and they scare me.

 

[xrac]

Faith based organization often start with good intentions and then get in over their head. However, faith based groups are often prime target of scammers and dubious get-rich-quickers.