New York Fines Health Insurers $2.7 Million For Failing To Comply With State Mental Health Parity Law

On May 8, 2012, the New York Department of Financial Services (DFS) announced that eight insurers operating 15 health plans were being fined $2.7 million because they failed comply with notification requirements of the state’s 2007 mental health parity law, “Timothy’s Law,” requiring them to to inform small businesses that they were eligible to buy special insurance coverage for mental illnesses and children with serious emotional disturbances. The violations occurred in 2009 and 2010. Oxford/United was fined $1.3 million; Empire HealthChoice was fined $480,440; HealthNet was fined $260,680; MVP was fined $215 . . .