Last fall, NAMI joined a lawsuit challenging an Administration regulation that allowed for the expanded sale of short-term, limited duration (STLD) insurance plans. Earlier today, U.S. District Court Judge Richard Leon upheld the Administration’s regulation in ACAP v. Treasury.
NAMI believes this regulation hurts our decades-long fight for mental health parity by allowing for an expansion of health insurance plans that are not required to cover people with pre-existing conditions or provide coverage for mental health services.
NAMI is deeply disappointed in Judge Leon’s decision, but we will continue our fight to make sure every American has access to comprehensive mental health coverage.
NAMI intends to join the appeal of this decision with our partners in the lawsuit, which include the Association for Community Affiliated Plans (the lead plaintiff), AIDS United, American Psychiatric Association, Little Lobbyists, Mental Health America and the National Partnership for Women & Families.
Why are STLD plans harmful to people with mental illness?
STLD plans are permitted to:
- Deny coverage for any pre-existing condition like mental illness;
- Charge higher premiums for people with a history of mental health conditions; and
- Not cover mental health and substance use disorder treatment.
In addition, these plans are likely to attract younger and healthier individuals, many of whom will be left without the coverage they need in a mental health crisis or if they develop a mental health condition.
These short-term, limited duration plans will also result in higher premiums for comprehensive health insurance plans that provide parity mental health coverage and that don’t exclude people with pre-existing conditions.
To learn more, read NAMI’s statement