NY insurer settles mental health parity claim

The Associated PressJuly 9, 2014 

— New York State Attorney General Eric Schneiderman says he has reached a settlement with insurer EmblemHealth Inc. that will force the company to boost its coverage of mental health services.

Schneiderman said Wednesday that an investigation by his office found that EmblemHealth's subcontractor issued 64 percent more denials of coverage for behavioral and substance-abuse issues than in medical cases.

New York's 2006 mental health parity law says insurers must provide mental health coverage equal to coverage provided for other conditions.

EmblemHealth will be fined $1.2 million under the settlement.

Schneiderman says the company may also have to pay up to $31 million in restitution for claims that were denied.

New York City-based EmblemHealth has 3.4 million members.

An EmblemHealth spokeswoman says new mental health policies have been put in place.

Bellingham Herald is pleased to provide this opportunity to share information, experiences and observations about what's in the news. Some of the comments may be reprinted elsewhere in the site or in the newspaper. We encourage lively, open debate on the issues of the day, and ask that you refrain from profanity, hate speech, personal comments and remarks that are off point. Thank you for taking the time to offer your thoughts.

Commenting FAQs | Terms of Service