# Plain Language Summary of H.R. 2062

This bill changes how the government treats health care sharing ministries for tax purposes. Right now, if you pay money into a health care sharing ministry—which is a faith-based organization where members pool money to help pay each other's medical bills—you can't deduct those payments on your taxes the way you can with traditional health insurance premiums or medical expenses. This bill would change that by allowing people to treat their membership fees and contributions to these ministries as legitimate medical expenses for tax deductions, similar to how you'd deduct other out-of-pocket health care costs.

The bill also makes an important legal distinction: it says that health care sharing ministries are not "insurance" and should not be treated as health plans under federal tax law. This is significant because it means these ministries would be exempt from many of the regulations and requirements that apply to traditional insurance companies. Currently, there's some confusion about whether these ministries should follow insurance rules, and this bill clarifies that they shouldn't have to.

The practical effect is that people who participate in health care sharing ministries would get a tax break on their contributions, making these alternative health arrangements more financially attractive compared to traditional insurance. This would benefit members of these faith-based health sharing groups by reducing their taxable income. The changes would take effect for tax years starting after December 31, 2025, meaning people would first see the benefit when filing their 2026 taxes.

To amend the Internal Revenue Code of 1986 to treat membership in a health care sharing ministry as a medical expense, and for other purposes.

Kelly, Mike

<p>This bill provides that amounts paid for membership in a health care sharing ministry, including amounts paid for the sharing of medical expenses and administrative fees, are a tax-deductible medical expense. (Health care sharing ministries are faith-based organizations with members who share a common set of ethical or religious beliefs and who contribute regular payments to cover the medical expenses of other members.)</p>