Schizophrenia Daily News Blog

Landmark Mental Health Parity Bill Applauded

Patient advocacy groups are applauding the 110th Congress for passing "The Paul Wellstone Mental Health and Addiction Equity Act" (H.R.1424). Introduced by Congressmen Patrick J. Kennedy (D-RI) and Jim Ramstad (R-MN), the bill will secure greater access to mental health and addiction treatment by prohibiting health insurers from placing discriminatory restrictions on treatment. Enactment of parity will enable millions of children and adolescents with mental illnesses to obtain necessary treatment.

Associated Press reported that:

"The 268-148 roll call was cheered by advocates who have been fighting more than a decade for what has come to be called mental health parity.

Supporters said the measure would help end the stigma of mental illness and create greater access for people needing mental health and addiction treatment.

Opponents warned it could drive up health care costs and force some employers to drop insurance coverage."

Enactment of parity will enable millions of children and adolescents with mental illnesses to obtain necessary treatment. Prior to the vote, a rally took place on the Capitol steps that included House Speaker Nancy Pelosi, former First Lady Rosalynn Carter, Patrick Kennedy (D-RI) and Jim Ramstad (R-MN), Dave Wellstone, and members of the House leadership.

The legislation addresses the discrimination in group health plans against persons with mental health or substance use disorders. It will expand the Mental Health Parity Act of 1996 by prohibiting group health plans from imposing treatment or financial limitations on mental health benefits and addiction disorders that are different from those applied to medical/surgical services. The legislation closes the loopholes that allow discrimination in the co-payment, coinsurance, deductible, maximum out-of-pocket limit and day and visit limits, requiring equality only for annual and lifetime limits.

The House voted 268 to 148, with 47 Republicans joining 221 Democrats in support of the measure. The Senate version of the bill passed the Senate by unanimous consent on September 18th, 2007.

According to the Government Accountability Office (GAO), close to 90 percent of plans impose such limitations and treatment restrictions on mental health and addiction treatment despite overwhelming scientific research that shows that mental illnesses have biological underpinnings and can be treated effectively. The Congressional Budget Office (CBO) estimates that managed nondiscriminatory mental health benefits will increase average premiums by less than one percent of the cost of the average benefit.

Mental Health America, in a press release issued last week, noted:

The bill would provide comprehensive parity for 87 million Americans covered by self-insured plans and another 31 million covered by insured plans that are subject to state regulation. Mental Health America applauds Representatives Patrick Kennedy (D-R.I.) and Jim Ramstad (R-Minn.) for their long-standing commitment to ending this civil rights inequity, and looks forward to working alongside Congress to pass a strong parity bill this year.

"There is simply no basis for discriminatory insurance practices that set arbitrary limits and inequitable cost-sharing burdens on Americans who need mental health treatment," said David L. Shern, Ph.D., president and CEO of Mental Health America. "Mental health disorders are every bit as debilitating, and just as treatable, as cancer and diabetes. It's high time that we recognize this by passing strong federal parity legislation."

The Paul Wellstone Mental Health and Addiction Equity Act (H.R. 1424) would outlaw practices that have for too long have caused needless suffering, reduced workplace productivity, and increased overall health care costs while contributing to higher costs in the public health care system. The legislation establishes a floor for mental health equity but does not in any way override stronger state laws. State parity laws vary widely from state to state (for a map of state laws, visit http://www.mentalhealthamerica.net/go/parity/states).

In 2007, Reps. Kennedy and Ramstad embarked on the Campaign to Insure Mental Health and Addiction Equity, a nationwide tour that Mental Health America helped mount to lay the foundation for their fight for equal access to health care for Americans with mental and addictive disorders. They heard testimony from Americans living with mental illnesses, business leaders who have benefited from workplace mental health programs, experts on mental health and addiction, and administrators of programs that bear the huge cost of untreated mental illness.

According to a 2007 survey by Mental Health America, the vast majority of Americans (89%) - including Democrats, Republicans, managers and employees alike - want to end insurance discrimination against people with mental health needs, "This is the great civil rights struggle of our time," said Shern. "And with such wide bipartisan support, we are confident that it's a struggle we're going to win."

Mental Health America looks forward to working with the House of Representatives and the Senate to enact a strong parity bill this year that achieves insurance equity and expands the civil rights of people with mental health and substance abuse needs. For more information, go to http://www.mentalhealthamerica.net/.

Additional reading:

House Approves Mental Health Bill (Associated Press)

The Wellstone Action Network