A federal agency has determined that California can continue to demand that all health plans under the jurisdiction of the state's Department of Managed Health Care - "even those purchased by churches and other religious organisations" - cover elective abortions for any reason.

The coverage includes late-term abortions and "those performed for reasons of 'sex selection.'"

The chairmen of two US Catholic bishops' committees said yesterday that the administrative ruling issued a day earlier by the US Department of health and Human Services fails to respect the right to life and religious freedom.