HF32 (Legislative Session 94 (2025-2026))
Health insurers prohibited from requiring co-payments for children's mental health services.
Related bill: SF1408
AI Generated Summary
Purpose
- To change rules about how much a health plan can charge for children’s mental health services, with the goal of making mental health care more affordable and accessible for kids.
Key Provisions
- Prohibition on copayments: A health plan company may not require a copayment for mental health services received by a child under age 18.
- Exception for HDHPs with HSAs: If the health plan is a high-deductible health plan (HDHP) paired with a health savings account (HSA), that plan must require a copayment for mental health services for a child under 18 at the minimum level necessary to preserve the enrollee’s ability to make tax-exempt contributions and withdrawals from the HSA as allowed under Internal Revenue Code (IRC) section 223.
- Codification: These rules would be added as a new section in Minnesota Statutes, chapter 62Q (specifically 62Q.474, titled “MENTAL HEALTH AND COPAYMENTS FOR CHILDREN”).
Significance and Potential Impact
- Access and affordability: Eliminating copayments for most children’s mental health services could reduce financial barriers and increase access to care for minors.
- Tax and account considerations: For HDHPs with HSAs, a copayment is still required, but only at a level that preserves the ability to use HSA tax-advantaged contributions and withdrawals, aligning with IRS rules.
- Stakeholders affected: health plan issuers, families with children under 18, and individuals enrolled in HDHPs with HSAs.
Relevant Implications to Watch
- Implementation details: How plans determine the “minimum level necessary” for HDHP/HSA copayments to satisfy IRC 223 could require plan-specific administration.
- Coverage scope: The bill’s language focuses on mental health services; it does not specify other behavioral health services or services for adults.
Compliance Considerations
- Plans would need to review and adjust copayment requirements for pediatric mental health services to ensure they comply with the new rule, including any HDHP/HSA-specific provisions.
Relevant Terms - copayment - mental health services - child under 18 - health plan - high-deductible health plan (HDHP) - health savings account (HSA) - Internal Revenue Code (IRC) section 223 - Minnesota Statutes chapter 62Q - 62Q.474 (MENTAL HEALTH AND COPAYMENTS FOR CHILDREN)
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| February 10, 2025 | House | Action | Introduction and first reading, referred to | Commerce Finance and Policy | |
| February 13, 2025 | House | Action | Authors added | ||
| February 17, 2025 | House | Action | Author added | ||
| February 19, 2025 | House | Action | Author added |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "The bill references federal law (Internal Revenue Code section 223) in connection with health savings accounts, specifying a copayment requirement for mental health services when the plan is a high-deductible health plan with an HSA to preserve the ability to contribute to and use funds from the HSA as provided under IRC § 223.",
"modified": []
},
"citation": "26 U.S.C. § 223",
"subdivision": ""
}
]Progress through the legislative process
In Committee