When President Bush signed the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 (MHPAEA) on October 3, 2008, that triggered a requirement for the Internal Revenue Service, Department of Labor and the Department of Health and Human Services (HHS) to issue regulations no later than October 3, 2009. Earlier this month, HHS announced that the regulations will be delayed. They said the new goal is to issue regulations by January 2010. In the absence of regulations, plan sponsors will have to make reasonable good faith efforts to comply with MHPAEA.
MHPAEA prohibits group health plans from imposing financial requirements such as deductibles, copayments, coinsurance and out-of-pocket limits with respect to mental health or substance abuse benefits which are more restrictive than the financial requirements that apply to substantially all of the medical and surgical benefits under the plan. The new law is effective with respect to plan years beginning after October 3, 2009, unless a collective bargaining agreement in place on October 3, 2008 has yet to expire.
