publication . Article . Preprint . Report . 1998

Parity for mental health and substance abuse care under managed care

Richard G. Frank; Thomas G. McGuire;
Open Access
  • Published: 01 Dec 1998 Journal: The Journal of Mental Health Policy and Economics, volume 1, pages 153-159 (issn: 1091-4358, eissn: 1099-176X, Copyright policy)
  • Publisher: Wiley
Background: Parity in insurance coverage for mental health and substance abuse has been a key goal of mental health and substance abuse care advocates in the United States during most of the past 20 years. The push for parity began during the era of indemnity insurance and fee for service payment when benefit design was the main rationing device in health care. The central economic argument for enacting legislation aimed at regulating the insurance benefit was to address market failure stemming from adverse selection. The case against parity was based on inefficiency related to moral hazard. Empirical analyses provided evidence that ambulatory mental health serv...
free text keywords: General Medicine, Actuarial science, Self-insurance, Health care, business.industry, business, Health policy, Rationing, Mental health, Public economics, Managed care, Fee-for-service, Adverse selection
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