What Is Healthcare Sharing?

Compare HCS to Insurance

If you’re helping others explore healthcare alternatives, understanding the basics of healthcare sharing is crucial. It’s a growing option for those looking for affordability and flexibility, but it’s important to clearly define what healthcare sharing is and how it differs from insurance.

Here’s a straightforward guide to help you explain these concepts effectively.

What Healthcare Sharing Is

1. A Community-Based Approach: Healthcare sharing is a model where individuals join together to help SHARE each other’s medical expenses. Members contribute a monthly share, and when someone has a medical need, their share goes directly to that need. It’s all about mutual support and shared responsibility. 

2. Faith-Based and Values-Aligned: Many healthcare sharing programs, like ShareRight, are grounded in shared values or faith-based principles. TShareRight invites those of all faiths to enroll.

3. Flexible and Personalized: Healthcare sharing programs offer flexibility regarding plan options and provider choices. Members typically have more control over their healthcare dollars and can often choose from a wider range of healthcare providers than insurance allows. ShareRight does not have a network of providers which means members can see any provider they wish.

4. Cost-Effective: One of the main attractions of healthcare sharing is its potential for lower costs. Without the overhead of insurance companies, these programs can often offer more affordable membership options.

What Healthcare Sharing Isn’t

1. Traditional Health Insurance: Healthcare sharing is not the same as traditional health insurance. It does not operate under the same regulatory framework and does not guarantee coverage in the way insurance does. Instead, it relies on the community’s shared responsibility to manage medical expenses.

2. A Replacement for Emergency Services: While healthcare sharing can help with many medical expenses, it might not be suitable for all types of care, especially with pre-existing conditions. Members should review what is included in the guidelines to ensure it meets their needs.

3. Government-Regulated: Healthcare sharing programs are not regulated by state insurance departments. They operate under different guidelines.

4. Guaranteed Coverage: Healthcare sharing programs might have limitations on what is shared and may exclude items like birth control. Always read the member guidelines before applying.

How Healthcare Sharing Compares to Insurance

1. Cost:

• Healthcare Sharing: Generally more affordable due to lower overhead costs and the absence of profit margins. 
• Insurance: Typically involves higher premiums, deductibles, and out-of-pocket costs. Insurance companies have administrative expenses and profit margins that can drive up costs.

2. Coverage:

• Healthcare Sharing: Offers a community-based approach with flexible, values-aligned care. However, it may not share all medical expenses or pre-existing conditions and has a different set of guidelines.
• Insurance: Provides comprehensive coverage mandated by law, including a wide range of medical services and treatments. Coverage is regulated and standardized.

3. Flexibility:

• Healthcare Sharing: Members often have more flexibility in choosing healthcare providers and can tailor their plans to better fit their personal needs and values.
• Insurance: Provider networks can be restrictive, and changes in coverage or plan details might be limited, requiring referrals or charging out-of-network fees.

4. Regulation and Consumer Protection:

• Healthcare Sharing: Operates outside the traditional insurance regulatory framework. But it offers support and transparency.
• Insurance: Subject to state and federal regulations that mandate certain protections and benefits for consumers.

5. Community and Support:

• Healthcare Sharing: Emphasizes community support, shared responsibility, and often involves a sense of camaraderie among members.
• Insurance: More transactional, with interactions primarily focused on claims processing and coverage disputes.

Conclusion

Healthcare sharing can be an excellent alternative for those seeking affordability and flexibility while aligning with their values. It offers a community-driven approach to managing healthcare costs but differs significantly from traditional insurance in terms of coverage, regulation, and cost.

When discussing healthcare sharing with others, it’s important to highlight these differences clearly. By understanding what healthcare sharing is and isn’t, and how it compares to insurance, you can help others make informed decisions about their healthcare options and find the solution that best fits their needs.