Iowa, New Hampshire, West Virginia Legislatures Consider Mental Health Parity Measures

The following is a summary of recent state action on mental health parity.

• Iowa: The state Senate on March 12 debated a bill (SB 3080) that would require health insurers to cover mental health treatments at the same levels for which they cover other medical care. The bill would mainly affect employees offered health coverage through medium-sized companies and would exempt firms with fewer than 50 employees and firms that are self-insured. State Senate President Mary Kramer (R) said the bill includes "helpful incentives" to encourage small businesses to provide insurance coverage for mental health. While supporters of the bill say mental health parity is needed to end "medical prejudice," opponents say the measure would be too costly for employers (Leys, Des Moines Register, 3/12).
• New Hampshire: The state House voted 226-155 on March 7 in favor of a bill ( HB 672) that would require insurers to cover treatment of alcoholism, drug abuse, two types of eating disorders and post-traumatic stress disorder, the Nashua Telegraph reports. The measure would require insurers to cover the services of licensed alcohol and drug abuse counselors. The bill, if passed, would not apply to public employees, unless such coverage is included in personnel plans or negotiated into their contracts during the collective bargaining process. The state Senate now will consider the bill (Bernstein, Nashua Telegraph, 3/8).
• West Virginia: Insurance companies would be required to cover mental and physical illnesses at the same levels under a bill (HB 4039) passed by the state House on March 8, the Associated Press reports. Under the legislation, however, if mental health costs increase to 2% of a large employer's insurance expenses, the company may impose unspecified "cost controls" on that coverage. The legislation would permit smaller firms to take similar action if mental health costs increase to 1% of their total medical bills. Before passing the bill, state House members agreed to changes made by the state Senate, which removed provisions that required insurers to cover some mental illness that impact children: separation anxiety, attention deficit and hyperactivity disorders and "conduct disorders." Gov. Bob Wise (D), who supports the bill, will now consider the measure (McCormick, Associated Press, 3/8).