Unlicensed health insurer fined, ordered to stop operations in Minnesota

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A health insurance company based in Texas, but operating in Minnesota, has been fined and ordered to stop selling unlicensed insurance policies in Minnesota.

Salvasen Health, its owner Barry Glenn, and multiple affiliates have been fined $553,000 by the Minnesota Department of Commerce (DOC) and ordered to stop their operations in Minnesota, the DOC said in an announcement Wednesday.

According to the department, Salvasen and affiliates were not licensed in Minnesota to sell health insurance plans but sold unapproved health plans to Minnesota consumers regardless.

The DOC provides regulatory oversight of insurance for Minnesota and initially acted in early 2022 to suspend Salvasen and its affiliates’ operations in the state following an investigation that found the company was unlicensed and failing to pay claims for covered medical services.

Consumers alleged numerous problems with the company, including denied coverage in situations that Salvasen said would be covered, having to pay thousands in medical charges out of pocket, and getting no response from Salvasen when contacted about problems with coverage.

MNsure has since offered a special open enrollment period for consumers who had purchased health plans from Salvasen.

Minnesotans with concerns, questions or complaints about health insurance plans are encouraged to contact the Department of Commerce’s Consumer Service Center at 651-239-1600, 800-657-3602 or [email protected].