The Jharkhand High Court recently said in a ruling that a person cannot be denied reimbursement for expenses incurred for mental health treatment under insurance.
The Insurance Regulatory Development Authority of India (Irdai) issued a directive in 2018, instructing insurers to provide mental illness coverage similar to physical ailments
The Jharkhand High Court recently said in a ruling that a person cannot be denied reimbursement for expenses incurred for mental health treatment under insurance.
According to experts, the Jharkhand High Court's decision is a positive step towards implementing the Mental Healthcare Act and incorporating it into health insurance, which prohibits discrimination based on mental and physical ailments.
What It Means
The recent ruling stresses the significance of giving priority to mental health care, which aligns with the provisions of the Mental Healthcare Act. “According to the court ruling, excluding psychiatric treatment from medical reimbursement schemes is a violation of the Act. This clearly states that mental health deserves the same degree of importance and attention as physical health in healthcare policies and insurance,” says Bhaskar Nerurkar, head-health administration team, Bajaj Allianz General Insurance.
“The decision has the potential to set a precedent for ensuring that employer-provided health insurance plans, government reimbursement programs, and private health insurance policies all cover psychiatric treatment impartially,” says Narendra Bharindwal, vice president, the Insurance Brokers Association of India (IBAI).
This is not the first time that it has been mandated that mental health be covered under health insurance.
Since the Mental Healthcare Act was enacted in 2017, insurance companies have been mandated to include mental health disorders under their policies. “The Irdai has issued a directive in 2018, instructing insurers to provide mental illness coverage similar to physical ailments. However, actual coverage varies between insurers,” says Bharindwal.
In recent years, mental health has taken center stage as a vital aspect of overall well-being, resembling the importance of physical health. The ever-changing pace of life, coupled with the rising burden of mental agony, has led to a shift in how we approach healthcare. “As a result, every standard health insurance policy now covers mental health as part of its coverage,” says Nerurkar.
Health Insurance Policies Should Cover Mental Illness
Mental health insurance coverage up to the sum insured is included within standard health insurance policies. The broad coverage encompasses both inpatient and outpatient mental health services for conditions including depression, anxiety, schizophrenia, bipolar disorder, and more.
Furthermore, therapy and counseling coverage assists with individual, group, and family therapy, as well as specific therapies, such as cognitive behavioral therapy (CBT), performed by licensed psychologists and psychiatrists.
Other insurance plans also respond to crises by addressing immediate needs, such as emergency room visits. However, it’s important to read your policy documents closely. “People have to look at their particular health insurance plans to see what kind of mental health coverage they have. Doing so may help ensure you have the right support, ” says Nerurkar.