What Is a Health Share?

You have probably heard of this alternative to traditional health insurance before, as it is becoming more and more popular. But do you know what a health share is?

Health shares are a relatively new option for people who are thinking of alternatives to traditional health insurance, even though the idea behind it dates back about a century. If you are one of those people, fear not! This blog is here to explain the idea behind health shares in simple terms. You will find all the relevant information here—what health shares are, what makes them different from traditional insurance, how they work, how to join them, and what the pros and the cons are.

Health Shares and You

Let’s go back to basics and first see what health shares actually are.

They are nonprofit organizations situated in the US which function differently than health insurance. The core idea is that members of a health share have common beliefs (usually religious or ethical) and help share in the costs of other members’ eligible medical expenses. They are also known as health care sharing ministries (religious organizations), healthcare sharing programs, and health sharing plans.

Why choose a health share over traditional health insurance?

The main reason why people decide to go for a health share is the fact that they are on average cheaper than insurance (some amount to $300-$500 per month). As health insurance premiums are rising, people are starting to consider alternatives–either because they question whether it’s worth it or they just can’t afford it anymore.

Rising health insurance prices are what helped spur the creation of alternatives—one of which is a health share. The popularity of this option is shown by health share membership now amounting to over one million members nationwide! We will say more about the differences between the two later on, so keep reading to find out more.

How do I join a health share?

Health shares offer different ways of signing up. You can usually sign up on the health share’s website, over the phone, or through e-mail. The most common requirement is to fill out a membership application and to meet any membership requirements.

How do health shares work?

Health shares are commonly religious organizations. Different organizations support different denominations and have different rules, which can vary based on how strict they are. Remember to read the guidelines carefully before signing up.

After joining a health share, you will need to pay monthly contributions to remain eligible for sharing. These monthly contributions will help pay for the medical expenses of other members in need.

Since health shares are nonprofit organizations, and are not insurance, they do not guarantee that your medical expenses will be paid for. If medical expenses are for medical services not eligible according to the member guidelines, or medical expenses exceed monthly contributions for a month, medical expenses can go unpaid, or only partially paid.

What makes a health share different from health insurance?

The main difference is that a health share provides no guarantee that your eligible medical expenses will be paid. Simply put, there is no binding contract, as these are medical cost sharing communities with voluntary membership run by nonprofit organizations. As you probably know, health insurance works based on a contract that guarantees that you will be paid in case a condition is fulfilled and the premiums are paid. That is the biggest difference between the two. That being said, health shares want to keep their members and care for their community; you can expect reputable health shares to share in the costs of eligible medical expenses.

Conclusion

Health shares are an increasingly popular alternative to traditional health insurance. Whether they that suit you depends on your current situation, needs, and religious beliefs (unless you are considering a secular health share, like Sedera or Zion HealthShare).

All in all, be sure to do your research before you choose to join a health share. In order to make sure you cover all your concerns, read the fine print and check the guidelines.

Take these matters seriously, and make sure that you can get the best option possible for the amount of money that you are willing to spend!