CHA News Article

CMS Posts FAQs on Medicaid and CHIP Parity Rule

The Centers for Medicare & Medicaid Services (CMS) has released a frequently asked questions document related to the Mental Health and Substance Use Disorder Parity Rule for Medicaid and the Children’s Health Insurance Program (CHIP). In the rule, CMS applied certain provisions of the Mental Health Parity and Addiction Equity Act to insurance coverage for people enrolled in Medicaid managed care organizations, alternative benefit programs and CHIP. The provisions ensure that financial requirements and treatment limitations on mental health and substance use disorder benefits generally are not more restrictive than the requirements and limitations that apply to medical and surgical benefits in these programs. The FAQs outline which benefits are subject to the parity analysis, how to document compliance and whether states should apply non-quantitative treatment limits in certain scenarios.