COLUMBUS, Ohio — A Franklin County Court of Common Pleas judge temporarily banned a health insurance company from doing business in Ohio and appointed the Superintendent of the Ohio Department of Insurance as the company's conservator Wednesday.
In the order, the court found reasonable cause to believe the continued operation of Thin Blue Line Benefits Association is "financially hazardous to policyholders, creditors, or the general public."
The allegations
The order comes one day after the Ohio Department of Insurance requested that the court halt the Texas-based company's operations in Ohio.
In a complaint filed on June 24, the Ohio Department of Insurance alleged that the Texas-based company was not licensed or regulated and stopped paying policyholders' medical claims while continuing to collect monthly premiums.
The insurance company has marketed itself as a provider to fill a gap for retired police officers, firefighters, and other first responders who have retired, but are under 65 and ineligible for Medicare, according to the complaint.
News 5 Investigators first reported on problems with the company's payments for medical claims in February. Watch more:
RELATED: Retired first responders in Ohio say health insurance not paying their claims
In a letter obtained by News 5 Investigators, the company's claims administrator, Quilt Benefits, stated that it and Cigna Healthcare terminated their agreements with the company on Dec. 1, 2024, because the Thin Blue Line Benefits Association failed to pay provider claims.
The complaint alleges that this left policyholders in "financially catastrophic positions" and, in some cases, unable to access medical care.
The complaint states that at least 3,400 people registered with the insurance company for the plan year starting on Sept. 1, 2024, and paid monthly premiums ranging from $778 to $3,005 per month.
However, by November 2024, the Thin Blue Line Benefits Association had stopped paying claims, according to the complaint.
It states that policyholders were then left on the hook for medical bills totaling tens of thousands of dollars, and sometimes hundreds of thousands of dollars, due to the company's "unfair and deceptive acts and practices."
'Just despicable'
Retired Madison Village Police Chief Dawn Shannon signed up for Thin Blue Line Benefits in 2023.
"It was supposed to be a good plan and it was, in the beginning. It was reasonable," she said. "And then it went up and went up and then all of a sudden, BAM! You're not getting things paid."
She stated that she has an outstanding bill of over $3,000 from a medical provider that was not paid by the insurance company.
She has since switched providers and hopes the company's temporary restraining order becomes permanent.
"They just shouldn't be able to practice anywhere," she said. "Just null and void...just despicable that they would do that to anybody, let alone first responders."
What's next
The complaint states that 27 policyholders have reported their concerns to the Ohio Attorney General's Office, which has initiated an investigation.
A hearing for a preliminary injunction against Thin Blue Line Benefits is scheduled for July 9.
News 5 Investigators called Thin Blue Line Benefits for a comment Thursday, but were only able to reach an answering service.
