Great article from Fringe Benefits Analysts about Health Care Sharing Ministries. My favorite quote:
“It is a well-known insurance underwriting fact that when a program does not cover pre-existing conditions, the plan will run very profitably as long as there is a constant flow of new members whose claims can be denied because of conditions that existed before joining the plan. Profitability also occurs through the use of medical questions where only the healthiest people are accepted into the plan. If new membership declines and the “pool of members” becomes stagnant, claims and costs can begin to soar as these two “underwriting effects” wear off. As costs rise, the healthiest participants, being rational consumers, have every incentive to drop the coverage altogether or find other less expensive alternatives.”
You want to know why your Health Care Sharing Ministry is slow in sharing your bills? Thats why…