In addition to recently passing the Emergency Economic Stabilization Act of 2008 (H.R. 1424), the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 was also signed into law.  The new law requires health insurances to provide equity between medical-surgical benefits and mental health and addiction benefits when policies offer coverage for both.  The effective date for most health plans is estimated to be January 1, 2010.

The law is of great significance for those who support the treatment of mental health and addiction disorders.  Often, when a worker or family member suffers from such disorders, treatment is limited by affordability or time/visit restrictions.  This law will provide equal access to addiction and mental health treatment, and consider such treatment to be as important as physical illness.  Proponents are hopeful that providing better treatment benefits will lessen the stigma often attached to those with substance abuse or other mental health issues and help the general public acknowledge that such illnesses can often be effectively treated.

The law, which applies to group health plans with 50 or more employees, prohibits health insurance plans from imposing day and visit limits or applying different deductibles, co-payments, out-of-network charges or other financial requirements for mental health and addiction treatment.  Those businesses with less than 50 employees are exempt.

Text of the law can be found at the Government Printing Office Web site, page 117.  For more information about addictions and treatment, visit the Substance Abuse Basics section of the Working Partners Web site.