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Page 6/The Battalion/Thursday, September 19,1985
PIKES
Present
ALL-UNIVERSITY
with
"Red Alert"
Live at the Brazos Pavilion
Friday, Sept. 20
$6 presale
$8 Door
State closes
6 insurance
agencies
Associated Press
DALLAS — Complaints from peo
ple in 27 states prompted the State
Board of Insurance to close six Tar
rant County health-benefits compa
nies that officials say stranded clients
with more than $2.5 million in medi
cal bills.
In addition to Tuesday’s closing
orders, the Texas attorney general’s
office has Filed a civil suit in state dis
trict court against the companies, al
leging “unfair and deceptive trade
practices” and fraud.
More than 12,000 people in 50
states purchased health insurance
like benefits from Christian Organi
zations Medical Society Inc. — based
in Hurst, a city near Fort Worth —
five other companies and five indi
viduals, insurance officials said.
Most of the clients were church or
missionary groups, they said.
A temporary restraining order
prohibits the companies and individ
uals from selling the benefit pro
grams, and a temporary receiver ap
pointed by a state district judge is
controlling the companies’ assets.
A hearing is scheduled for Mon
day to decide if the companies
should continue under receivership.
The companies acted like an in
surance company, Allene Evans, a
state assistant attorney general, said,
but never registered with the State
Board of Insurance.
While in operation, the companies
sold health-like benefits, but did not
establish a consistent method for
paying clients’ medical bills, she said.
About $2.5 million in claims were
filed but never paid, board officials
said.
United Pentacostal Church Inter
national, based in Hazelwood, Mo.,
had to pay more than $900,000 of its
employees’ medical bills because the
benefit companies did not pay
claims, church attorney Richard
Hughes said.
The Rev. Jack Green of Memorial
Baptist Church in Fort Worth said
he has paid premiums to Christian
Organizations for more than three
years. But when his wife had an ap
pendectomy in July that cost more
than $4,000, the company did not
pay the claim.
The companies closed and named
in the suit are the Hurst-based com
panies of Christian Organizations
Medical Society Inc., North Ameri
can Risk Management Inc., Brown
ing Corp. International, American
Risk Management Corp., Browning
Corp. International, Administration
and Risk Consultants Inc. and Fort
Worth-based Christian Organization
Medical Society Employee Benefit
Trust.
The United Way breakf ast included a movie made by GTE.
Photo by ANTHONY S. CASPER
A&M's goal for United Way
set at $67,000 for '85-'86
By MEG CADIGAN
Staff Writer
Texas A&M President Frank
Vandiver on Wednesday chal
lenged A&M’s United Way area
coordinators to raise more thaii
$100,000 for the 1985-86 school
year.
Vandiver, Texas A&M Univer
sity System Chancellor Dr. Ar
thur Hansen and Vice President
of Student Services Dr. John Kol-
dus spoke at a breakfast to kick
off the University United Way-
fund drive.
“I have always thought we
should raise over $100,000 in this
community,” Vandiver said.
Hansen urged United Way
area coordinators to make per
sonal contacts during their fund
raising efforts.
“We’ve done alright in the past,
but I think we could do a lot bet
ter,” he said.
Hansen also stressed the civic-
responsibility A&M has in the
Bryan-College Station area.
“We are part of this commu
nity and we need to share in what
others in this community do,”
Hansen said.
A United Way brochure ex
plains contribution size and signi-
figance.
“An $11,000 wage earner, with
a $2 or $3 monthly gift will pro
vide 30-minute therapy sessions
at the Rehabilitation Center, or
will support three Retired Senior
Volunteers for the entire year."
The brochure goes on to say
that a $30 to $40 monthly gift can
provide immediate emergency
relief through the Red Cross for a
family of four whose home was
destroyed by fire.
United Way works well because
it helps the various agencies it
serves plan their fund drives and
helps avoid repeated solicitation
of sources, said Pamela Dillard,
co-chairman of the A&M cam-
paign.
“United Way has developed a
unique system where it funds a
clutter of community services,”
Dillard said.
The United Way helps support
several community organizations
including:.
• Geranium Junction, a horti
cultural work experience for
otherwise unemployable hand
icapped.
• Phoebe’s Home, a shelter lot
abused women and their chil
dren.
• The area rape crisis center.
• The l(x:al Senior Citizens As-
sociation.
• Stepping Stone, an organi
zation for runaway and truant
youngsters.
'fhe University’s goal is to raise
$67,000, an increase of $12,ODD
over last year’s goal.The System
has a goal of raising another
$44,000.
The student goal is to raise
$3,000, a $7,000 decrease from
last year.
Kathrvn Colley, student fund
raising chairperson, attributes the
lower goal to difficulties with the
student campaign last year.
She said some of the United
Way activities were cancelled by
rain and also had publicity proh
lems.
Koldus is the general chairman
of the Brazos County United Way
campaign, which has a goal ol
$475,000.
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