LANSING, Michigan (WNEM) — The Michigan Department of Insurance and Financial Services (DIFS) has issued a cease-and-desist order against Salvasen Health for allegedly violating Michigan insurance code by selling unlicensed health insurance plans and failing to pay claims, according to the state of Michigan.
“DIFS’ regulatory function serves to ensure that Michiganders have safe access to legitimate services, including health insurance, from companies that will be there to pay claims when their policyholders need them,” DIFS Director Anita Fox said. “DIFS is committed to protecting Michigan consumers from companies that operate in violation of state or federal laws.”READ MORE: Michigan Matters: Pistons’ Rob Murphy on Helping His Hometown
Salvasen Health is accused of selling insurance policies to more than 2,000 Michigan residents without proper licensure as well as failing to make timely payments on claims. Its website advertises several health insurance plans but lacks any disclaimer that it is not licensed to issue plans in Michigan, the DIFS said.
The company was formed in 2021 as a domestic limited liability company in Texas, and the Texas Commissioner of Insurance took disciplinary action against Salvasen Health for selling policies in the state of Texas without a license earlier this year.READ MORE: Ribs RnB Music Festival Kicks Off This Weekend In Downtown Detroit
Under Michigan’s order, Salvasen Health has 30 calendar days after service to contest the order by requesting a hearing on the allegations. The alleged actions may carry civil fines and restitution paid to those affected by the unlicensed insurer.
Consumers who believe they may have been a victim to this company should contact DIFS by calling 877-999-6442 Monday through Friday 8 a.m. to 5 p.m. or online by visiting the department’s website.
Consumers that need health coverage for 2022 might be eligible for a special enrollment period through the Health Insurance Marketplace (HIM) if they have experienced certain qualifying life events, such as loss of employer sponsored health care. To learn more, call 877-999-6442 Monday through Friday 8 a.m. to 5 p.m.MORE NEWS: Judge Says Michigan Gov. Whitmer Won't Have To Testify In Abortion Lawsuit
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