Insurers Don't Treat Mental Illnesses The Same As Physical Illnesses
In some states, health insurance companies are not required to treat mental health illnesses the same as physical illnesses. One such state is Arizona where The Arizona Republic (Mar 4, 2008) recently highlighted the issue of a 6-year-old who was dropped from his parents' health insurance plan, two weeks into his third hospital stay.
That was six years ago, and despite being subsequently diagnosed with bipolar disorder, Tourette syndrome and obsessive compulsive disorder, only his parents and a state-run program bear the financial burden of his medications and treatment.
It's been a long-running debate as to whether Arizona's insurance companies should provide the same benefits for brain disease as they do for heart disease, liver disease and other physical illnesses:
- Politicians say new mandates would increase insurance costs
- Insurance companies say existing benefits reflect market needs
- Mental health advocates say benefits for mental illnesses are necessary
- And that they actually lower overall health insurance costs
The closest the state will come to parity? - a new legislature proposal which dictates that if an insurance company chooses to offer mental health benefits, that the behavioral health services are provided at the same level as other medical services - which hardly sounds like motivation for insurers to offer mental health benefits.
It's OK If You Get Cancer, But Don't Try Getting Depressed Too
In Tallahassee, a lady who saw her father die from cancer, then later found herself battling with depression, was able to see the stark contrast between the cost of insurance for physical illness compared to mental disorders. (St. Petersburg Times, Mar 9, 2008) Florida law gives carte blanche to insurance companies to charge at will for mental health coverage.
Part of the issue revolves around the lack of definition for mental health disorders as having a defined "cure." Typically treatment requires therapy rather than surgery. As the Tallahassee patient also found, stigma is attached to mental disorders, with the public's view often maligned by their perception.
Parity Law Would Still Leave Coverage Optional
Last week the issue was debated in the U.S. House and a bill passed along the lines of the Arizona proposal, requiring insurance companies to bring parity between coverage for mental illness and physical illness (New York Times, Mar 6 2008). The bill does not mandate insurance for brain diseases and until the bill becomes law, insurance companies may continue to set lower limits on treatment or higher co-payments for mental health services than for other medical care.
For more health information in the states listed above, see Arizona Health Insurance and Florida Health Insurance.