Oregon regulators ordered a health sharing company to stop selling coverage to residents, saying the company’s membership plans were functioning as unlicensed insurance.
ClearShare Health was ordered to stop selling coverage by the Oregon Division of Financial Regulation, which began reviewing ClearShare in Jan
uary. The DFR reportedly found that the company’s membership plans function as insurance contracts because ClearShare pays specific and ascertainable medical exp
enses once members meet their annual maximum. These annual maximums operate as insurance deductibles, according to DFR.
ClearShare Health’s affiliates include Clearwater Benefits LLC, Clearwater Benefits Admini
strators LLC and Clearwater Benefits Holdings LLC. The division also determined that Clearwat
er Benefits Administrators provided third-party administrator without holding a third-party administrator license.
The DFR order prohibits ClearShare and its affiliates from marketing, offering, selling or renewing memberships in Oregon. It also bars the entities from soliciting o
r collecting contributions or fees for new memberships or renewals and from representing that ClearS
hare memberships are not insurance or are not subject to regulatory oversight.
The order includes a limited exception that allows the entities to continue processing medical expense submissions for memberships that were active on A
pril 14. This exception is intended to ensure that existing members can continue to have their claims considered under the terms of their current agreements.
See more beautiful photo albums Here >>>
The division found that ClearShare had enrolled at least 370 Oregonians, including 18
0 primary members, into its plans. Respondents have 20 days from the date the order was served to request a contested case hearing.
A California company was fined $4.4 million for misclassifying caregivers as independent contractors.
The California Labor Commissioner’s Office cited Hart Placement Agency Inc., a Canoga Park based company, and its principals, Annie Ghaw and Hartmann Ghaw,
for misclassifying 144 caregivers as independent contractors who were working in homes throughout Los Angeles County.
An LCO investigation reportedly found that Hart Placement, operated by a mother and son team, misclassified caregivers and denied them legal protections, includin
g accurate wage statements and paid sick leave. Of the total $4,423,450 cited, $4,266,450 is owed directly to the affected workers.
From October 2022 through December 2024, Hart Placement reportedly required car
egivers to obtain business licenses and file fictitious business name statements to enable them to misclassify the workers as independent contractors. According to LC
O’s investigation, Hart Placement maintained control over caregiver schedules, duties and comp
ensation, and required them to sign independent contractor agreements without providing copies.
Investigators say caregivers were instructed to falsify timesheets or sign documents to conceal shifts exceeding 12 or 24 hours and did not receive paystubs or paid sick leave required under labor law.
LCO’s investigation followed a referral from Pilipino Workers Center of Southern California, a community-based organization that helped identify witnesses who cooperated with the investigation.
