3
Q5: Does my health plan violate MHPAEA because it uses a separate managed behavioral
health organization to provide utilization review and other services with respect to mental
health and/or substance abuse benefits (sometimes called a carve-out arrangement)?
No, MHPAEA does not require that insurance arrangements be organized in any particular way.
Instead, MHPAEA requires that mental health and substance use disorder benefits be covered
and managed in a manner that is no more stringent than medical/surgical benefits. Managed
behavioral health organizations may have specialized expertise in the treatment of mental health
and substance use disorders and in organizing networks of specialty providers.
To comply with MHPAEA, group health plans, their health insurance issuers, and other service
providers should work together to ensure that standards for financial requirements, treatment
limitations and non-quantitative treatment limitations are being met. In particular, standards
used in applying nonquantitative treatment limitations to mental health or substance use disorder
benefits must be comparable to, and applied no more stringently than the standards used in
applying the limitations with respect to medical/surgical benefits, except to the extent that
recognized clinically-appropriate standards of care permit a difference.
Q6: MHPAEA and its implementing regulations impose mathematical tests for
determining whether a financial requirement or quantitative treatment limitation (such as
a copay or visit limit) on mental health/substance use disorder benefits is permitted. Are
nonquantitative treatment limitations, or NQTLs, (such as medical management
standards) analyzed the same way?
No. While the Departments’ regulations set forth mathematical rules for analyzing plan
limitations that are expressed numerically, nonquantitative limitations are analyzed differently.
With respect to nonquantitative treatment limitations, the Departments’ regulations provide that
under the terms of the plan as written and in practice, any processes, strategies, evidentiary
standards, or other factors used by a plan or issuer in applying an NQTL to mental health or
substance use disorder benefits must be comparable to, and applied no more stringently than, the
processes, strategies, evidentiary standards, or other factors used in applying the limitation to
medical/surgical benefits, unless recognized clinically appropriate standards of care may permit a
difference.
For more information and guidance regarding NQTLs, see the interim final regulations, as well
as the FAQs available at: http://www.dol.gov/ebsa/pdf/faq-aca7.pdf.
Q7: How does MHPAEA interact with State mandates?
States generally may impose stricter requirements on health insurance issuers. For example,
while MHPAEA does not require that plans provide benefits for any particular mental health
condition or substance use disorder, a State law may mandate that an issuer offer coverage for a
particular condition. To the extent a State law mandates that an issuer provide some coverage
for any mental health condition or substance use disorder, benefits for that condition must be in
parity with medical/surgical benefits under MHPAEA.