Insurance and Mental Health

[dollardaze]

There have been complaints to the Maryland Insurance Administration that some psychiatric patients have not received timely treatment, because their insurance companies have not responded to emergency room doctors' calls for the verification of coverage. At times, these patients have had to wait for hours, or even days to be hospitalized, the complaints read.

The state agency has received complaints of 10 cases from the Baltimore health department in which patients have had to endure long waits because of their insurance companies not being able to be reached for approval.

An investigation has been launched by the insurance administration about these cases and is collecting further information about the patients, providers and insurers involved. A spokes person for the insurance administration says that this could be a simple case of the providers not having the correct telephone numer of the insurer, or whether the insurers are not answering their calls, but that the complaints are taken very seriously.

A Maryland law which was passed in 2006, states that insurance companies cannot leave a psychiatric patient in limbo when treatment is needed. The law also says that insurers must be available 24 hours a day and must respond to any requests for preauthorization within 2 hours. An insurer that does not comply with the law can be fined by the insurance administration.

One insurer listed in the complaints said that it works to quickly respond to these requests and if more than an hour has passed, the company authorizes that care. The company also says their phone lines are staffed around the clock and added that these complaints would be examined.

Since the time of these complaints, a bill has been passed by the U.S. House of Representatives that will make insurance providers cover mental-health treatment on an equal basis with medical care. This is known as mental-health parity.

One of the bills co-sponsers, Rep. Brian Baird, D-Vancouver who is a former clinical psychologist has praised the passage of this bill, saying that it will benefit millions of Americans who suffer from addiction and mental illness.

The bill will stop insurance companies from denying treatment to people needing mental health treatment. According to the Government Accountability Office, almost 90% of health care plans impose financial limitations and restrict the treatment of mental health patients. Many states require mental health to be included in insurance plans, but there has been no federal standard for mental health care coverage.