House Engrossed Senate Bill

 

 

 

State of Arizona

Senate

Fifty-second Legislature

First Regular Session

2015

 

 

 

CHAPTER 136

 

SENATE BILL 1039

 

 

AN ACT

 

Amending section 20‑122, Arizona Revised Statutes; relating to Health care sharing ministries.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1.  Section 20-122, Arizona Revised Statutes, is amended to read:

START_STATUTE20-122.  Health care sharing ministries; exemption from regulation; definition

A.  A health care sharing ministry's practices do not constitute the transaction of insurance business in this state for the purposes of regulation under this title.

B.  For the purposes of this section, "health care sharing ministry" means a faith-based, nonprofit organization that is exempt from federal income tax under section 501 of the internal revenue code and that:

1.  Limits its participants to those who are of a similar faith share a common set of ethical or religious beliefs.

2.  Meets the requirements of 26 United States Code section 5000A(d)(2)(B).

2.  3.  Acts as a facilitator among participants who have financial or medical needs and matches those participants with other participants who have the ability to assist those with financial or medical needs consistent with the criteria established by the health care sharing ministry.

3.  4.  Provides for the financial and medical needs of a participant through contributions from one participant to another.

4.  5.  Suggests amounts that participants may contribute with no assumption of risk or promise to pay among the participants and no assumption of risk or promise to pay by the health care sharing ministry to the participants.

5.  6.  Provides a written monthly statement to all participants that lists the total dollar amount of qualified needs submitted to the health care sharing ministry and the amount actually published or assigned to participants for their contribution.

6.  7.  Provides a written disclaimer on or accompanying all applications and guideline materials distributed by or on behalf of the ministry that reads, in substance:

Notice:  The organization facilitating the sharing of medical expenses is not an insurance company and the ministry's guidelines and plan of operation are not an insurance policy.  Whether anyone chooses to assist you with your medical bills will be completely voluntary because participants are not compelled by law to contribute toward your medical bills. Therefore, participation in the ministry or a subscription to any of its documents should not be considered to be insurance.  Regardless of whether you receive any payment for medical expenses or whether this ministry continues to operate, you are always personally responsible for the payment of your own medical bills.END_STATUTE


 

 

 

APPROVED BY THE GOVERNOR APRIL 1, 2015.

 

FILED IN THE OFFICE OF THE SECRETARY OF STATE APRIL 2, 2015.