A unique law was implemented in New Mexico two years ago, which eliminated behavioral health co-pays for individuals with certain insurance plans. A recent study on the impact of this law revealed mixed results. According to Ezra Golberstein, an associate professor at the University of Minnesota, who first came across the No Behavioral Health Cost Sharing Act, the goal of the law was to reduce costs for consumers and improve access to mental health care.
The study conducted by Golberstein showed that out-of-pocket costs decreased in the initial six months after the law was implemented. However, it did not seem to lead to an increase in individuals seeking mental health treatment. Golberstein noted that since most prescriptions are for generic medications, which are already affordable, reducing the cost to zero did not significantly change medication dispensing patterns. Interestingly, there was a slight uptick in new prescriptions for more expensive medications.
Despite its positive impact, the law has some limitations. It primarily targets insurance provided by employers but many of the state’s largest employers are exempt due to a carve-out for “self-funded” insurance. However, individuals covered by insurance through the Affordable Care Act Marketplace or state employees are affected by this law. Golberstein mentioned that New Mexico is still testing the effectiveness of such legislation and further research is underway.
This study was funded by The W.K Kellogg Foundation and KUNM listeners shedding light on New Mexico’s unique approach towards improving accessibility and affordability of behavioral health services
