A Merrimack Superior Court judge ordered the state Insurance Department to halt administrative hearings for two companies that offer an alternative to traditional health insurance.
The ruling came after Aliera Healthcare and Trinity HealthShare sued the Insurance Department, claiming it exceeded its jurisdiction and violated the New Hampshire Constitution “through state-sponsored discrimination” against its religious freedom when it ordered the companies to stop issuing new policies or renew existing policies last year.
The administrative hearings could lead to a halt in the companies’ operations, revocation of their business licenses and fines.
Aliera, which is not licensed as an insurance company in New Hampshire, has been administering and marketing health coverage on behalf of Trinity, which operates as a health care sharing ministry, according to the state. Both companies are based in Atlanta.
In a health care sharing ministry, members pay premiums and voluntarily agree to share their medical expenses in accordance with their Christian beliefs, according to Trinity’s website.
Last October, the department ordered the companies to stop issuing new plans or renewing coverage in the state after receiving dozens of complaints. About 1,400 New Hampshire residents have signed up for the plans.
Judge John Kissinger Jr. last week ordered the department to halt — or stay — any administrative proceedings while the court case is pending.
“In the interest of preserving the status quo, the court leaves intact the order that Aliera and Trinity not solicit or write new business pending the court’s decision on the merits of the constitutional and statutory challenges,” he wrote.
The state objected to the injunctive relief and filed a motion to dismiss the complaint.
The state filed a motion to dismiss through the Attorney General, stating health care sharing ministries needed to be formed before Dec. 31, 1999, under the Affordable Care Act, also known as Obamacare. The state claims “Trinity was created in Delaware on June 27, 2018 by Aliera and its principals,” according to the motion.
“Like a health insurance company, Trinity collects fixed monthly payments from its members, payments that vary according to the level of coverage, and conducts medical underwriting to screen for preexisting conditions,” the motion reads. “There is also a schedule of covered and excluded services, a schedule of copayments and deductibles, a claim adjudication process, use of provider networks and annual or lifetime limits.”
The court denied the motion in July.
Trinity’s sharing ministry is derived from “a long-standing — much prior to 1999 — Anabaptist tradition and ministries,” according to a letter seeking the initial hearings from attorney Alexander J. Gonzales, representing Aliera.
In the complaint, Aliera claims the Insurance Department “seeks to define what is and what is not a recognized religion under New Hampshire law.”
The Insurance Department initially alleged Trinity failed to establish that it is faith-based and limits its membership to individuals who share a common set of ethical or religious beliefs. The state has since backed off those claims, according to court documents.
The Attorney General’s Office would not comment on pending litigation.
Aliera, through a spokesman, said the ruling underscores the importance of constitutional law and protecting religious freedom “against government discrimination and regulatory overreach.”
“Health care sharing ministries provide a vital alternative to more expensive, traditional health insurance plans, and the right to join these religious organizations clearly deserves protection under the laws and constitution of New Hampshire and the United States,” the spokesman wrote in a statement.
