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Study: Mental coverage not costly

WASHINGTON, March 30 (UPI) -- Providing the same insurance coverage for mental conditions and physical ones may not be more expensive, a new study says.

After the Federal Employee Health Benefit Plan removed caps on mental-health benefits in 2001 and added some managed-care restrictions, use of mental-health services did not increase faster than in private plans, according to the study published Thursday in the New England Journal of Medicine.

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Proponents of legally mandated equal coverage for mental-health care, also called mental-health parity, say the study offers further evidence that it would not greatly increase insurance premiums while greatly improving care for patients with severe mental conditions.

Opponents of such laws say that mandating parity eliminates choices for payers and beneficiaries and could increase costs for everyone.

Currently, some beneficiaries face co-payments as much as double what they pay for physical care.

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