A cease and desist order for soliciting health insurance clients without being properly licensed to do so in Idaho has been issued to Makina Health, according to the Idaho Department of Insurance (“IDI”).
The order prevents Makina Health or any entity with the word “Makina” in its name from engaging in the business of transacting insurance in the state of Idaho.
According to the IDI, Makina, which operates as a private purchasing cooperative based out of Texas, violated Idaho Code § 41-213(1)(a).
In a statement, the IDI said that, acting on a tip from the public, it began investigating Makina this past December following an allegation the company was soliciting self-funded health care plans in Idaho. The IDI said that the company maintained a website touting health plans labeled “fantastic options for the value.” Idaho Code § 41-4003(3) provides that self-funded plans, including multiple employer welfare arrangements (“MEWAs”) that operate within Idaho must be registered with the IDI but the IDI asserted that Makina violated this code by acting as a MEWA in the state of Idaho.
“We have a responsibility to protect Idaho consumers by making sure the insurance producers with whom they do business are properly licensed under the Idaho Insurance Code,” said the IDI's director, Dean Cameron.
Victoria Spears
Victoria Prussen Spears is senior vice president of Meyerowitz Communications Inc., a law firm marketing communications consulting company. A graduate of Sarah Lawrence College and Brooklyn Law School, Ms. Spears was an attorney at a leading New York City law firm before joining Meyerowitz Communications. She may be contacted at [email protected].