Bill Overview
Title: Health Share Transparency Act of 2022
Description: This bill requires a health care sharing ministry (HCSM) to disclose specific information to individuals enrolling in the HCSM and to designated government agencies. (An HCSM is a faith-based organization with members who share a common set of ethical or religious beliefs and who contribute regular payments to cover the medical expenses of other members.) The bill requires an HCSM to disclose to an enrolling individual information such as (1) the average out-of-pocket expenses an enrollee incurs, (2) how to file a complaint or appeal a coverage determination, and (3) a list of the HCSM's non-reimbursable items and services. The bill also requires that an HCSM submit annual financial disclosures and program information to the Department of Health and Human Services (HHS), the Internal Revenue Service, and the Consumer Financial Protection Bureau. HHS is required to publicly post this information. Additionally, health insurance brokers contracting with an HCSM are required to provide an enrolling individual with information about health insurance coverage that is available through Medicare, Medicaid, or a health insurance exchange, as appropriate. HHS may apply civil monetary penalties to an HCSM that fails to comply with the bill's requirements. Further, the bill requires the Federal Trade Commission to publicly disclose information about consumer complaints regarding HCSMs.
Sponsors: Rep. Huffman, Jared [D-CA-2]
Target Audience
Population: Individuals participating in Health Care Sharing Ministries (HCSMs)
Estimated Size: 2000000
- The bill targets Health Care Sharing Ministries (HCSMs), which are utilized by individuals who prefer a faith-based health care system over traditional health insurance.
- HCSMs generally serve members who are part of a religious or faith community, and participation in these ministries is typically linked to the individual's religious beliefs.
- Of the over 330 million Americans, data suggests that approximately two million individuals participate in Health Care Sharing Ministries.
- Globally, the prevalence and regulations surrounding HCSMs vary significantly, but the United States is one of the few countries where such organizations have a significant presence.
- The legislation seeks to improve transparency and information accessibility for current and potential members of HCSMs, which will directly impact their enrollment decisions and financial planning.
- The bill will also indirectly impact health insurance brokers who work with HCSM clients by changing their disclosure obligations.
Reasoning
- The policy primarily affects a subset of the U.S. population who are members of Health Care Sharing Ministries (HCSMs), which is about 2 million people or roughly 0.6% of the total population.
- HCSM participants typically value their systems for aligning medical spending with religious values, accessibility, and community support.
- The policy focuses on increasing transparency, which may benefit members by offering better information for making informed decisions.
- There may be differing impacts on individuals based on their level of understanding of current HCSM practices, financial literacy, and reliance on these ministries for healthcare needs.
- Given the specific population, the legislation can have varying degrees of impact, from high (for those who depend solely on HCSMs for health expenses) to none (for those knowledgeable and comfortable with current setups without transparency).
Simulated Interviews
Teacher (Texas)
Age: 45 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 5/20
Statement of Opinion:
- The new policy will help me understand my financial liabilities better.
- I hope to see more clarity on what is covered and what is not.
- The additional information provided will guide me in making better health-care-related decisions.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
Freelancer (Florida)
Age: 30 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 5.0 years
Commonness: 7/20
Statement of Opinion:
- I'm concerned about unexpected costs, this policy might help reduce that uncertainty.
- I feel the policy will help newcomers like me understand the system faster.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 7 |
Homemaker (Ohio)
Age: 50 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 3.0 years
Commonness: 6/20
Statement of Opinion:
- Our family is quite content with our HCSM.
- More disclosure won't affect us much, as we've not had issues so far.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 7 | 8 |
Software Developer (California)
Age: 40 | Gender: male
Wellbeing Before Policy: 9
Duration of Impact: 0.0 years
Commonness: 8/20
Statement of Opinion:
- I trust our HCSM completely and don't need government intervention.
- This policy feels like unnecessary oversight.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 9 | 9 |
| Year 2 | 9 | 9 |
| Year 3 | 9 | 9 |
| Year 5 | 9 | 9 |
| Year 10 | 9 | 9 |
| Year 20 | 9 | 9 |
College Graduate (New York)
Age: 23 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 4.0 years
Commonness: 9/20
Statement of Opinion:
- I am overwhelmed by healthcare decisions and transparency is needed.
- The policy seems beneficial for someone new to this kind of system.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 8 | 6 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 8 | 7 |
Retired (Arizona)
Age: 60 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 6.0 years
Commonness: 4/20
Statement of Opinion:
- I am worried about future medical bills, more information would be helpful.
- This could help me understand if I'm making the right financial choices.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 7 | 6 |
Nurse (Illinois)
Age: 35 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 3.0 years
Commonness: 6/20
Statement of Opinion:
- Transparency will help in deciding whether I need supplementary insurance.
- Current HCSM information is somewhat opaque, more disclosure is better.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Entrepreneur (Georgia)
Age: 28 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 8/20
Statement of Opinion:
- I worry about unpredictable costs. The policy is a good step towards transparency.
- It may help me understand my health expenses better.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
Administrative Assistant (Michigan)
Age: 55 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 2.0 years
Commonness: 7/20
Statement of Opinion:
- I appreciate knowing more about how my contributions are used.
- This doesn't change much, but transparency is welcome.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Non-profit Worker (Oregon)
Age: 38 | Gender: other
Wellbeing Before Policy: 7
Duration of Impact: 4.0 years
Commonness: 3/20
Statement of Opinion:
- This gives more oversight which could lead to better alignment with my values.
- Understanding out-of-pocket expenses is critical for budgeting.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Cost Estimates
Year 1: $20000000 (Low: $15000000, High: $30000000)
Year 2: $18000000 (Low: $14000000, High: $28000000)
Year 3: $18000000 (Low: $13000000, High: $25000000)
Year 5: $17000000 (Low: $12000000, High: $24000000)
Year 10: $15000000 (Low: $10000000, High: $20000000)
Year 100: $15000000 (Low: $10000000, High: $20000000)
Key Considerations
- The bill targets a specific demographic that relies on faith-based healthcare. The impacts on this group's healthcare costs and access must be considered.
- HCSMs might pass compliance costs onto their members, which could affect affordability and accessibility.
- The transparency requirements might affect HCSMs' competitive position compared to traditional insurance, influencing market dynamics.