In a recent meeting of the Oregon House Committee on Behavioral Health and Health Care, significant discussions centered around the challenges posed by rising medical premiums and the implications of health care sharing ministries (HCSMs). The meeting, held on May 29, 2025, highlighted the urgent need for consumer protection in the face of increasing health care costs and the complexities of alternative health care arrangements.

One of the most pressing issues raised was the alarming rise in medical premiums, with one business owner reporting an 18% increase this year and a projected 20% increase for the next. This trend raises concerns about the sustainability of health insurance for providers and the potential impact on access to care for Oregonians. The committee acknowledged the need to address these financial pressures on both businesses and consumers.

The discussion then shifted to House Bill 2268, which aims to regulate health care sharing ministries. These organizations, often marketed as faith-based alternatives to traditional health insurance, have come under scrutiny for their lack of transparency and consumer protections. Testimony from Fish Stark, executive director of the Center for Free Thought Equality, underscored the risks associated with HCSMs, particularly for low-income individuals who may mistakenly believe they are purchasing legitimate health insurance. Stark shared a poignant example of a Washington resident who faced a $100,000 medical bill after his HCSM denied coverage for a life-threatening condition, highlighting the potential financial devastation that can result from these arrangements.

The proposed legislation seeks to require HCSMs to register with the Oregon Department of Consumer and Business Services and disclose essential information about their operations, including coverage exclusions and claims payment rates. This measure aims to empower consumers with the knowledge needed to make informed decisions about their health care options. Stark emphasized that the bill does not seek to ban HCSMs but rather to ensure that consumers are not misled by deceptive marketing practices.

Jesse O'Brien, a policy manager with the Division of Financial Regulation, provided additional context on the regulatory landscape for HCSMs in Oregon. He noted that the state currently lacks specific laws governing these entities, which can lead to consumer confusion and potential exploitation. O'Brien acknowledged that while some complaints about HCSMs can be addressed under existing consumer protection laws, many issues remain unregulated due to the nature of these arrangements.

The committee's discussions reflect a growing recognition of the need for greater oversight of health care sharing ministries in Oregon. As the state grapples with rising health care costs and the complexities of alternative insurance models, the proposed House Bill 2268 represents a critical step toward enhancing consumer protections and ensuring that Oregonians have access to reliable health care coverage. The committee plans to continue exploring this issue, with further discussions anticipated in future sessions.