States target mental health parity enforcement

State lawmakers are eyeing tougher mental health parity requirements for insurers. 

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In Georgia, state lawmakers are considering legislation to increase enforcement of a mental health parity law enacted in 2022, the Georgia Recorder reported March 3. The bill would create a panel to review complaints over insurance coverage of mental healthcare, and require providers to report suspected violations by insurers. 

Lawmakers in other states have introduced legislation to toughen enforcement of laws requiring insurers to provide equal coverage for behavioral health and physical health services. In February, the Colorado House of Representatives passed legislation codifying federal mental health standards into state laws. The bill would also require insurers to use “evidence-based” criteria for mental health coverage decisions. 

Connecticut lawmakers also introduced legislation designed to increase enforcement of mental health parity laws, the CT Mirror reported Feb. 18. The state passed a law in 2019 requiring payers to submit an annual report detailing their mental health and substance use coverage. These reports are often missing data, advocates told the CT Mirror. 

The legislation would allow the state’s insurance commissioner to penalize insurers that do not comply with the requirements. 

New York Gov. Kathy Hochul said the state will introduce regulations requiring insurers to meet wait-time standards for behavioral health appointments. 

The push for parity enforcement at the state level comes as federal regulations are up in the air. In September 2024,the Biden Administration finalized rules intended to strengthen the 2008 Mental Health Parity and Addiction Act. In January, a group of employers sued, challenging the new regulations.

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