Ever heard of Health Care Sharing?

I hadn’t either, but now that I know about it, I want everyone to know about it!
As a self-employed Pilates instructor, I’m focused on physical health and fitness daily. I know I need health insurance in case of accidents, unforeseeable health events, and well, it’s the law! However, after paying over $3,000 into the barest of bare minimum Affordable Healthcare Act plans this year (and not filing one claim), I was rewarded with an estimated cost of over $5,000 for 2018 with virtually no benefits until I meet a $7,000 deductible. Ouch!
I recently learned that Health Care Sharing has been around since 1981 and it is basically a non-profit organization that facilitates sharing of high health care costs among members. To be a member, you’re typically required to avoid things known to cause poor health, be fiscally responsible and have sound moral beliefs. In exchange for those virtues, members contribute a reasonable financial contribution (I pay $150/month) and then in the event of a costly medical incident (generally more than $500) those costs are covered. Oh and another thing, membership leaves you compliant with the law and Affordable Care Act because members of certain health shares are exempt from the penalties. God bless life, liberty and the pursuit of happiness!
Have you heard of this? Are you a member of one? I’d love to hear any feedback, so please leave your comments! Or if you want to learn more about whether this might be the right fit for you visit: Liberty HealthShare, Christian Healthcare Ministries, MediShare, MCS Medical Cost Sharing

Caitlin

7 Dec 2017

Would LOVE to talk with you more about this. I’ve actually had quite a few conversations… both with people considering this option, a few people that have participated in these programs AND a few of the organizations you mention above. I think these can be great options for some people, but I do think there are some things to be aware of:
1. It does not cover the individual mandate requirement, UNLESS you choose one with a religious organization and you plead a religious exemption on your tax filing. This opens you up to the IRS and Department of Health and Human Services to look into your behavior and determine whether or not you are truly a member of a religious organization, which just has some very fuzzy lines. Christian Healthcare Ministries says that its members MUST “attend group worship regularly.” When I asked a representative what “regularly meant,” he told me that it was dependent on the person. So for someone with minor health issues, going to mass once a month may count as regularly. But for someone with major health issues, you may be denied if you don’t go weekly. It’s not really defined, nor is it strictly black and white.
2. This is not insurance. Liberty Health Share even says on its Legal Notices website page (and the others all say it elsewhere), that “This program is not an insurance company nor is it offered through an insurance company…. should never be considered as a substitute for an insurance policy.” The person I spoke to on the phone reiterated that notion. What this means is that the organization as a whole has the power to determine whether or not they will pay your bill. One person I talked to, said that she was denied payment from her health share organization because another member found a picture on Facebook of her drinking (she’s in her 50’s), and therefore, she did not qualify as someone living a Christian life. One picture. Though it may not always feel like it, a traditional insurance carrier cannot deny you coverage on those terms.
3. Some of these plans have very rich benefits. But everyone should definitely read the fine print. There’s a lot there… especially when it comes to pre-existing conditions (which could include anxiety, migraines and pregnancy). One program looks back on your 3-year medical history… so if you went to the doctor two years ago for a migraine and now you find out you have brain cancer, your claims could be denied. The ACA made this illegal for true traditional insurance plans. The Christian Ministry plan requires that a woman’s due date be at least 300 days away before joining the plan. Again, a traditional plan can’t do that.
4. Lastly, and this is a biggie… These plans have certain maximums on them. I know right now we all feel healthy and like a million bucks. But if something were to happen, these plans have maximums that they’ll pay per incident… and some even have lifetime caps. And we all know that it’s not just insurance costs that are rising… but actual healthcare costs, like surgeries, treatments, pharmaceuticals, etc. Heck, the average cost to have a child is somewhere between $20,000 – $30,000… and that’s if everything goes smoothly.
There are a lot of good things about these plans. Instead of solely relying on these plans as your only insurance… I would recommend pairing it with a high deductible health plan, like you had previously. Those plans usually come with a lower premium and would allow for you to have an extra layer of protection in case of worse case scenario. No lifetime maximums. No being denied. Of course, I’m still digging into these plans and learning more so would be happy to share any more findings! And feel free to shoot me over anything you’ve found! The more we can all be smarter on these issues, the better! 🙂
As always, SO beyond proud of how you address the whole self!! You’re the best!

This Post Has 2 Comments

Caitlin
7 Dec 2017

Would LOVE to talk with you more about this. I’ve actually had quite a few conversations… both with people considering this option, a few people that have participated in these programs AND a few of the organizations you mention above. I think these can be great options for some people, but I do think there are some things to be aware of:
1. It does not cover the individual mandate requirement, UNLESS you choose one with a religious organization and you plead a religious exemption on your tax filing. This opens you up to the IRS and Department of Health and Human Services to look into your behavior and determine whether or not you are truly a member of a religious organization, which just has some very fuzzy lines. Christian Healthcare Ministries says that its members MUST “attend group worship regularly.” When I asked a representative what “regularly meant,” he told me that it was dependent on the person. So for someone with minor health issues, going to mass once a month may count as regularly. But for someone with major health issues, you may be denied if you don’t go weekly. It’s not really defined, nor is it strictly black and white.
2. This is not insurance. Liberty Health Share even says on its Legal Notices website page (and the others all say it elsewhere), that “This program is not an insurance company nor is it offered through an insurance company…. should never be considered as a substitute for an insurance policy.” The person I spoke to on the phone reiterated that notion. What this means is that the organization as a whole has the power to determine whether or not they will pay your bill. One person I talked to, said that she was denied payment from her health share organization because another member found a picture on Facebook of her drinking (she’s in her 50’s), and therefore, she did not qualify as someone living a Christian life. One picture. Though it may not always feel like it, a traditional insurance carrier cannot deny you coverage on those terms.
3. Some of these plans have very rich benefits. But everyone should definitely read the fine print. There’s a lot there… especially when it comes to pre-existing conditions (which could include anxiety, migraines and pregnancy). One program looks back on your 3-year medical history… so if you went to the doctor two years ago for a migraine and now you find out you have brain cancer, your claims could be denied. The ACA made this illegal for true traditional insurance plans. The Christian Ministry plan requires that a woman’s due date be at least 300 days away before joining the plan. Again, a traditional plan can’t do that.
4. Lastly, and this is a biggie… These plans have certain maximums on them. I know right now we all feel healthy and like a million bucks. But if something were to happen, these plans have maximums that they’ll pay per incident… and some even have lifetime caps. And we all know that it’s not just insurance costs that are rising… but actual healthcare costs, like surgeries, treatments, pharmaceuticals, etc. Heck, the average cost to have a child is somewhere between $20,000 – $30,000… and that’s if everything goes smoothly.
There are a lot of good things about these plans. Instead of solely relying on these plans as your only insurance… I would recommend pairing it with a high deductible health plan, like you had previously. Those plans usually come with a lower premium and would allow for you to have an extra layer of protection in case of worse case scenario. No lifetime maximums. No being denied. Of course, I’m still digging into these plans and learning more so would be happy to share any more findings! And feel free to shoot me over anything you’ve found! The more we can all be smarter on these issues, the better! 🙂
As always, SO beyond proud of how you address the whole self!! You’re the best!
1. altvitality
  7 Dec 2017
  
  Thank you for sharing your research, Caitlyn! I so much appreciate your comments and I agree that it is important to look at all the pros and cons before signing on to any health care plan. Your comments will help guide anyone looking into these plans on the tough questions that should be asked before signing on! Good stuff!

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