Consumer alert! California attorney general says healthcare “sharing” ministry scammed thousands

An Atlanta-based company that operates as an unregulated healthcare “sharing” ministry has run afoul of California’s Attorney General, Rob Bonta, who claims the company scammed thousands of California consumers and collected millions of dollars in monthly payments.

The company, Aliera, operates as a healthcare sharing ministry that collects monthly payments from members in exchange for covering their medical costs. Unlike insurance companies, health care ministries are largely unregulated by state officials. According to HealthCareDive, these plans are attractive to those looking for lower-cost options than more traditional insurance.

However, consumer advocates and a growing number of state regulators warn consumers to read the fine print.

In the California lawsuit, the AG claims members sought medical care during emergencies and incurred substantial debt. Yet, according to the lawsuit, Aliera refused to pay its members’ costs.

As of January 2022, 14 states had brought action against Aliera companies. In 2020, Aliera and its partner Trinity were ordered to pay $1 million for operating illegally in Washington State.

“Aliera and Trinity promised to provide people with coverage when they needed it only to leave consumers with huge medical bills,” Washington State Insurance Commissioner Mike Kreidler said in a news release. Do you have a story about a health care fraud or cost issue you’d like to share? Write us at Voices for Affordable Health.