Inefficient insurance coverage has significantly compromised accessible mental health care for millions of people nationwide. President Biden has proposed a new measure to ensure mental health care is covered equally in comparison to physical health benefits.
President Joe Biden announced a new measure to ensure access to mental health care. He introduced a proposed rule that aims to align mental health benefits in private insurance plans more closely with physical health benefits. The rule intends to strengthen the 2008 Mental Health Parity and Addiction Equity Act (MHPAEA) by requiring insurance providers to update health plans to ensure equitable access between mental health and medical benefits.
This initiative aims to enhance mental health care accessibility and address the disparity between mental and physical health coverage in insurance plans. President Biden says the plan “represents a real step forward to help millions of people get mental health care they need and that insurance should be providing.”
Why is this needed?
In the past, mental health insurance has had an adverse impact on the nationwide mental health crisis. Many companies have caused issues by not adequately compensating and delaying payments to mental health professionals, leading some professionals to refuse clients who want to use their health insurance for mental health treatment. Some insurance companies have also restricted access by offering only a small number of approved providers, imposing session limits, limiting treatment strategies, and requiring high co-payments.
“Friends, the difference between a broken arm and a mental breakdown is negligible – it’s all about health, no distinctions. It’s health,” Biden expressed. “Mental health care is unquestionably health care. It’s essential for people’s well-being, enabling them to lead fulfilling lives, find joy, purpose, and care for themselves and their loved ones. It’s a matter of dignity.”
What will change?
Under this rule, insurers would assess coverage using various measures such as provider networks, out-of-network coverage payments, and the frequency of prior authorization requirements and approvals within existing plans, as outlined by the administration.
“A primary goal of this rule is to simplify enforcement when health plans fail to meet rule standards,” the official noted to reporters prior to the announcement. “It explicitly outlines the steps health plans must take to comply with parity requirements, providing regulators like the Department of Labor or state insurance commissioners with the means to enforce regulations and hold parties accountable to the rule’s standards.”
When will the rule go into effect?
After the rule is published in the Federal Register, which is anticipated to happen next week, there will be a 60-day period for the public to provide comments before the rule can become effective.