Georgia fines insurers $20M over mental health parity violations

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Georgia regulators are fining health insurers more than $20 million for failing to comply with state and federal mental health parity laws.

Insurance Commissioner John King said Aug. 15 that the penalties follow examinations that uncovered more than 6,000 violations among 22 insurers. Common problems included applying prior authorization to services that were not supposed to require it, inconsistent classification of benefits and unclear medical necessity reviews.

Under state law, insurers can face penalties of up to $5,000 per violation. In addition to fines, companies may be required to reprocess claims or submit compliance plans.

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