House Bill Would Provide Parity for Substance Abuse Treatment Benefits Representative Jim Ramstad (Minn.) has introduced the Time for Recovery and Equal Access to Treatment in America Act of 2005 (HR 1258), which would amend ERISA, the Internal Revenue Code, and the Public Health Service Act (PHSA) to provide parity for substance abuse treatment benefits under group health plans and health insurance coverage.

Specifically, HR 1258 would amend ERISA, the Tax Code, and PHSA to specify that, in the case of a group health plan or health insurance coverage that provides both medical and surgical benefits and substance abuse treatment benefits, the plan or coverage could not impose treatment limitations or financial requirements on the substance abuse treatment benefits unless similar limitations or requirements are imposed for medical and surgical benefits.  However, the bill would not require a plan to provide any substance abuse treatment benefits.   Like the Mental Health Parity Act, HR 1258 would provide an exemption for employers with 50 or fewer employees.   In addition, the bill would provide an exemption if the application of the provisions of the legislation results in an increase in the cost under the plan of at least 1%.   Plans would be required to provide a notice to participants describing the protections of the bill.  If enacted, the provisions of the bill would apply with respect to plan years beginning on or after January 1, 2006.  More information will follow when available.