Parity Opt Out By Non-Federal Governmental Plans

The Consolidated Appropriations Act of 2023 (CAA 2023) has eliminated the ability of self-insured health plans sponsored by non-federal governmental employers to opt out of the obligation to provide parity in mental health and substance abuse benefits.  Prior to the passage of CAA 2023 non-federal governmental plans could make an annual election not to comply with the parity rules.  Effective December 29, 2022, such plans can no longer opt out of these requirements and elections expiring more than 180 days after that date may not be renewed.

The information and content contained in this blog post are for general informational purposes only, and does not, and is not intended to, constitute legal advice. As always, for specific questions concerning your health and welfare plan, or for help in operating your plan during the current COVID-19 crisis, please consult your own ERISA attorney or professional advisor.