Washington Insurance Commissioner Mike Kreidler (pictured) has fined Unite Health Share Ministries $300,000 and banned it from selling insurance in the state.

The action follows an investigation launched by the Office of the Insurance Commissioner after a complaint revealed that Unite Health Share Ministries paid only $5,000 on a consumer’s medical claim, leaving the consumer with nearly $200,000 in medical expenses.

According to the Kreidler camp, UniteHealth markets itself as a health care sharing ministry, but it does not meet the legal definition under state law. Its program materials state that it refuses to enroll consumers with certain medical conditions, in violation of the Affordable Care Act.

As an unlicensed insurer, Unite Health enrolled more than 320 Washingtonians in its membership program and collected membership fees. From 2019 to 2023, it collected $2,919,125.19 in membership fees from Washingtonians while accruing $74,999 in unpaid premium taxes.

In the order seen by the insurance company, the Office of the Insurance Commissioner said: “By conducting insurance in this state without a certificate of authorization, the defendant violated RCW 48.05.030(1) and RCW 48.15.020(1), justifying the issuance of a cease and desist order under RCW 48.02.080(3)(a) and RCW 48.15.023(5)(a).”

“Defendant also violated RCW 48.43.012(2) and RCW 48.43.073(1)(a) by selling and administering a participating program that limits coverage to pre-existing medical conditions and excludes state-mandated abortion services, respectively.”

“Protecting Washingtonians from predatory organizations is a priority for my office,” Kreidler said in a press release. “These companies promise to cover health care costs and leave consumers with huge medical bills. It’s an unacceptable practice, and we have put in place rules to prevent it.”

Unite Health has until September 26 to request a hearing. If a hearing is not requested, the above fine will be due within 30 days of June 28.

In May and June, Kreidler’s office issued $213,500 in fines, including $30,000 against Gadget Guard, which was also ordered to stop doing insurance business in Washington.

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