H.R. 957: Parity Enforcement Act of 2025
This bill, titled the Parity Enforcement Act of 2025, aims to strengthen the enforcement of mental health and substance use disorder benefits in group health plans. Here is a breakdown of the key components of the bill:
Purpose
The primary purpose of the Parity Enforcement Act of 2025 is to impose civil monetary penalties on health plan administrators and sponsors who violate mental health parity requirements. This means that health plans must provide the same level of coverage for mental health and substance use disorders as they do for other medical conditions.
Amendments to Current Law
The bill makes several changes to existing laws regarding the enforcement of parity in mental health benefits:
- Expansion of Responsibility:
The definition of parties responsible for compliance has been broadened. Specifically, it includes not only the sponsors of group health plans but also service providers and plan administrators.
- Inclusion of Violations:
The bill specifically lists failures related to mental health parity in its enforcement provisions, making it clearer which types of violations can incur penalties.
- Your Rights:
Individuals covered under these plans will have enhanced rights in terms of seeking compliance and accountability from their health plans regarding mental health benefits.
Enforcement Mechanism
The legislation allows for civil monetary penalties against any responsible party if they fail to comply with the parity requirements. This includes both financial repercussions for the health plans and potential actions by individuals or the government seeking compliance.
Effective Date
The amendments proposed by this bill will take effect for group health plans beginning one year after the bill is enacted. This gives health plans time to adjust their practices and ensure compliance with the new requirements.
Summary of Benefits
By reinforcing the requirement for mental health and substance use disorder coverage to be on par with other health benefits, the bill aims to enhance access to necessary mental health care for individuals enrolled in these plans.
Relevant Companies
- UNH - UnitedHealth Group Incorporated: As a significant provider of health insurance, this company may need to adjust its offerings and practices to comply with the new parity enforcement requirements, potentially impacting its financial operations.
- ANTM - Anthem, Inc.: Another major health insurer, Anthem may also face similar adjustments to ensure compliance with stricter mental health parity guidelines, which could affect its operational practices and bottom line.
- CNC - Centene Corporation: Centene, which specializes in managed care, will have to ensure that its plans meet the new parity standards, which may involve overhauling its current mental health benefit structures.
This is an AI-generated summary of the bill text. There may be mistakes.
Sponsors
7 bill sponsors
Actions
2 actions
| Date | Action |
|---|---|
| Feb. 04, 2025 | Introduced in House |
| Feb. 04, 2025 | Referred to the House Committee on Education and Workforce. |
Corporate Lobbying
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