Mental Health Study Slams Managed Care

The treatment of severely mentally-ill people by managed care companiesacross the USA is "shockingly inadequate," according to a new study by the National Alliance for the Mentally Ill.

The year-long study of nine managed care plans enrolling 73 million people found that most: do not define a suicide attempt as a medical emergency or have policies that ensure immediate care; do not cover the newest treatments, especially for schizophrenia; and frequently use outdated treatment guidelines, limit coverage for inpatient hospital care and deny treatment to disruptive and noncompliant patients.

The Alliance's executive director, Laurie Flynn, said the survey shows that "cost-cutting is being done at the expense of the sickest individuals." The Alliance is calling for more public accountability for managed care plans, through public involvement and outcomes measures, and for managed care companies to improve treatment guidelines. It says Congress should examine the plans' handling of people with severe mental illnesses in Medicaid programs, with the aim of producing consumer protection legislation; this could also be passed at state level. The states should also monitor the performance of managed care plans, it says.