What is the Mental Health Parity Act?
The Wellstone-Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 was passed in October 2008 and applies to the Yale Health Plan. The Act is effective as of January 1, 2010. Regulations have not yet been issued. The new federal parity law will require group health plans to cover treatment for mental illness on the same terms and conditions as any other illness. Parity will be required in two specific areas: 1. Treatment Limits. The new law requires equity – equal treatment – with respect to numerical limits (number of visits) on inpatient and outpatient services, barring limits on both services that don’t also apply to medical/surgical coverage. 2. Financial Limits. The parity law also requires equity with regard to financial strictures, excluding any cost-sharing, deductibles, or out-of-pocket limits that don’t also apply to medical/surgical coverage. What this means is that most plans will eliminate separate deductibles for mental illness or substance abuse treatments
