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Letters January 24, 2008
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Mental health parity needed in New Jersey
Iwanted to take this time to ask everyone to support a bill that is so important to the citizens of New Jersey. Assembly bill A-2512 is a cost-saving measure and is good for the fiscal health of the state budget and the state economy. It would reduce current costs by shifting from the private sector to the public sector, thereby saving the state money and expanding treatment access without relying on additional state resources. Such cost shifting has increased costs to the state by as much as 20 percent.

This bill, authored by Assemblyman Robert Gordon and co-sponsored by 38 other Assembly legislators, requires health insurance plans to provide parity benefits for all mental health disorders. There are thousands of adolescents and adults who suffer from debilitating mental illnesses and are denied access to mental health benefits.

New Jersey's current law does not cover illnesses such as 9/11-related post-traumatic stress disorder, eating disorders, postpartum depression, alcoholism and other substance abuse use disorders. A-2512 revises statutory mental health coverage requirements and requires all health insurers and state health benefit plans to cover treatment under the same terms and conditions as for other diseases or illnesses

The consequence of untreated or under-treated mental health and addiction exacts a heavy financial burden on the state, as well as large and small businesses. Twenty-five percent of Medicaid spending went to pay for the consequences of substance abuse.

S-807/A2512 would result in significant cost savings for public and private employers. Health-care costs declined by 40 percent for those treated for their depression and by 23 percent to 55 percent for those following alcohol or drug treatment. For New Jersey's state and public employers, that represents a savings of $56 million to $134 million in alcohol-related health-care costs alone, and for private employers a savings of over $680 million to $1.6 billion.

The Governor's Human Services Transition Policy Group joined the following panels in recommending the enactment of mental health and addiction parity: the Pension and Health Benefits Review Commission, the Mandated Health Benefits Advisory Commission, the Governor's Mental Health Task Force, the New Jersey Substance Abuse Prevention and Treatment Advisory Task Force, and the New Jersey Department of Health and Senior Services.

These groups all cited the savings the state would realize if parity were provided for mental health and addiction treatment. It will produce savings to society that will far outweigh the very slight impact it may initially have on health insurance premiums. A-2512 represents a wise investment for the state of New Jersey, county and local governments, as well as small and large employers.

Your action is needed. This bill has successfully made it through the state Senate and has passed in the Assembly committee, and all that needs to be done now is to have Assembly Speaker Roberts release this bill (next week) for full vote to the General Assembly. Please contact Assemblyman Roberts at (856) 742-7600 and tell him that you're for mental health and addictions parity in New Jersey. By doing this, you will save the state of New Jersey millions of dollars and help thousands of New Jersey citizens in receiving the mental health care they need and deserve.

Pete Trabucco Director of Public Affairs

National Association

of Social Workers/

New Jersey

Edison