Frustrated with health insurance costs, some turn to religious plans: ‘For us it’s been a godsend’
"Wow, I'm so grateful I don't have to worry about finances," the
Her son Moises recovered. The family's out-of-pocket cost for the episode? Nothing.
The Barazza family belongs to a health care sharing ministry, a religious nonprofit in which members pay for each other's health care needs. Compared with traditional health insurance premiums, ministries' monthly member costs are often much lower. But unlike traditional insurance, members must often commit to religious principles. The ministries generally won't pay for services that don't align with those principles, such as abortion and substance abuse treatment, and they often limit coverage of pre-existing conditions and prescriptions.
Despite those differences, people in
The ministries are another way many people are thinking outside-the-box, trying to find creative solutions to pay for their health care needs without spending sometimes large amounts on health insurance.
It's hard to say exactly how many people take part in the ministries, but the
More than 20,000 people in
But experts, and the ministries themselves, caution that they're not the same as health insurance and they're not right for everyone. No one regulates health care sharing ministries, and they're not subject to the same standards and requirements as health insurance, such as those meant to ensure prompt payments and financial solvency.
"They're not insurance," said
The uncertainty isn't stopping people from choosing ministries over traditional health insurance.
Michael and
They pay a little more than
When it comes to their own medical needs, the Johnsons generally pay for services and incidents that cost less than
"At first, you think, 'Is this really going to work? Will people actually send us money, or are we going to be left high and dry?'" Sarah said.
So far, it's worked. When Sarah gave birth to the couple's second child in 2014, Samaritan members sent them about
Samaritan's religious foundations also appeal to the couple. Like other members, when they joined, they had to sign documents agreeing not to smoke, drink excessively or use drugs. They also had to promise to go to church regularly and be faithful in their marriage. Their pastor had to affirm to the ministry that they were active in their faith community.
"With Samaritan, we're not supporting things we have a moral objection to," Michael said.
Samaritan, based in
Other large ministries operate similarly, though each has its own rules and payment structures. Some ministries have networks of doctors so patients can get discounts on services.
Another ministry,
Another large ministry, Liberty HealthShare, has about 98,000 families across the country, including about 2,526 households in
Unlike some ministries,
"It really arises out of the Mennonite belief system and world view that essentially believes we're called to assist others who are in need without necessarily confinement or restriction as to who that aid or assistance goes to," said
"We've abandoned the health insurance model and instead rely on each other to pay our bills," Bellis said.
Obamacare, formally known as the Affordable Care Act, generally prohibits insurers from denying coverage for pre-existing conditions and from limiting how much they will put towards a patient's medical expenses. The law also requires insurance companies selling plans to individuals to pay for things such as prescription drugs and mental health care.
Health care sharing ministries face none of those requirements -- and many don't meet them.
Medi-Share members, for example, generally won't get help with prescription drug costs for more than six months. "It's not the best fit for everyone," said
Medi-Share has worked well for Barraza's cousin
But she's 27 and relatively healthy. "I can definitely see how if you have some of those things in your life ... it would make you pause and wonder," Williams said of pre-existing conditions.
Ministries technically aren't under any legal obligation to pay for members' health costs, said Pollitz, with the
Samaritan spokesman
When that does happen, Samaritan typically will make it up through an overage the next month, extra giving from members or discounts from providers. If it happens three months in a row, members can vote to raise the monthly share fee. The last increase, however, was more than two years ago.
Conversely, some months, there's more money than needed, and when that happens, members don't have to pay as much those particular months, he said.
It's also uncertain whether the ministries will continue to attract as many people once Obamacare's penalty for failing to buy insurance disappears after this year.
"They've been growing more rapidly ever since the huge premium inflation in the individual market triggered by Obamacare," said Dr.
Rates for Obamacare exchange plans in
Bellis, founder and chairman of
Ministry member
They became members of
As relatively healthy people, they have yet to file a claim. But Hill said they'll continue participating in the ministry, in case of an unexpected, serious medical need.
"We're saving thousands of dollars," Hill said. "I don't think this kind of program is for everyone, but for us it's been a godsend."
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