Tuesday, December 25, 2007

Congress Approves Extension of Mental Health Parity Act

Dec 24, 2007

Congress Wednesday passed legislation extending the Mental Health Parity Act of 1996 until the end of 2008. Included in the Heroes Earnings Assistance and Relief Tax Act of 2007 (H.R. 3997), the extension will prohibit group health plans that provide medical, surgical care and mental health care from imposing coverage limits on mental health coverage that don’t apply to other types of medical treatment, and imposes a $100 fine per day for violations.

The extension does not eliminate a loophole in the 1996 law that allows group health plans to impose higher co-payments, deductibles and coinsurance payments for mental health services. The AHA has long advocated parity for hospital days, outpatient visits, co-pays, deductibles and maximum out-of-pocket costs for in-network services.

Source: AHA News Press Release

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