Mental Health Coverage – Things to know

Mental Health Coverage: Key Factors to Choose the Right Plan

Until recently, psychological and mental disorders were often neglected. For decades, people with mental illnesses faced stigma and discrimination. The passage of the Mental Healthcare Act of 2017 by the Indian government intends to protect the rights of those with mental health problems and provide them with proper health care treatment.

According to the rules issued by the Insurance Regulatory and Development Authority of India (IRDAI) in 2018, all health insurance companies in India must provide cover for mental health treatment on par with any other physical ailment.

Thanks to those efforts, mental health is receiving a lot of attention and awareness. And the inclusion of mental health cover to health insurance has been invaluable for those suffering conditions such as depression, anxiety, stress-related disorders, and neurological issues.

Here is everything you need to know about mental health coverage.

What is mental illness?

Mental illness encompasses a broad range of health conditions that impact your emotions, thinking, and behaviour. At some point, many people experience mental health problems. When persistent signs and symptoms create regular stress and disrupt your daily activities, a mental health concern becomes a mental illness.

When a person has a mental health problem, they cannot think, work, remember, act, or make decisions. It creates cognitive problems and even makes it difficult to carry out everyday tasks. Many ask, Does insurance cover therapy for mental health issues? The answer is yes, many health insurance policies now offer coverage for various mental illnesses that can affect memory, thinking, behaviour, and decision-making abilities.

Mental health coverage in India

Mental health coverage in India refers to a mandatory component of health insurance policies, as mandated by the Mental Healthcare Act of 2017.

Several Mental health coverage for individuals provides Inpatient and outpatient treatment, Medications, diagnostic procedures, Road ambulance charges, and Room rent. Individuals usually ask, Is therapy covered by insurance in India? Yes, therapy is covered by many health insurance in India.

Why do you need mental health cover?

Everyone is vulnerable to mental disorders in today’s busy lifestyle and stress. Anyone with a family history of mental illness or who has been through a traumatic experience should consider purchasing mental health insurance. It is also helpful for those who are experiencing trauma due to the death of someone or a post-accident.

Who needs cover for mental health?

Everyone is vulnerable to mental disorders in today’s busy lifestyle and stress. Anyone with a family history of mental illness or who has been through a traumatic experience should consider purchasing mental health insurance. It is also helpful for those who are experiencing trauma due to the death of someone or post-accident.

What does mental health insurance cover?

Mental health insurance covers costs incurred if a person requires hospitalisation for in-patient treatment related to any mental illness. Diagnostics, medicines, treatment costs, hotel rent, and ambulance fees are all included, provided the person got hospitalised for at least 24 hours. The cover for mental health illnesses may vary, and sub-limits are applicable as per the insurer.

Here is a list of mental illnesses that require hospitalisation:

• Psychiatric disorders
• Neurological disorders
• Visual or hearing impairments

Is mental illness covered by health insurance?  Earlier, mental illness expenses were not included in health insurance plans in India. However, from the last a few years there has been a significant shift in this approach. There has been an awareness about mental health concerns, prompting more individuals to seek help.

 This shift culminated in the enactment of the Mental Healthcare Act in 2017, effective from May 29, 2018.

What does mental health insurance not cover?

As with most health insurance plans, insurers have some exclusions for mental health treatments. Most insurers will pay the expenses only if hospitalisation is necessary for at least 24 hours. Insurers rarely cover outpatient charges such as consultations. Any mental illness related to drug or alcohol misuse will not receive coverage from insurers.

Also, insurance companies can deny coverage for mental health illnesses if the person has a history of recurrent mental illness or cognitive disability.

What is the waiting period for mental health coverage?

Like any pre-existing disorder (PED), mental illness also has a waiting period before being covered by the insurer. So make sure to take health insurance when one is relatively fit and fine.

Summing up!

Mental health is rarely a discussed topic in India. The inclusion of mental health cover in health insurance could bring a change, encouraging patients to be more optimistic about their treatment options. When selecting health insurance with this coverage keep in mind that different insurers offer different benefits. Always read the inclusions and exclusions before buying a health insurance plan.

Star Health Insurance, being the Health Insurance Specialist, would comply with IRDAI guidelines and offer cover for Psychiatric & Psychosomatic. So, get one of the best mental health coverage plans with Star Health Policies.

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