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ISPS-US Statement on Threats to Mental Health Parity and Medicaid Access

At ISPS-US, we believe that all people deserve access to comprehensive, compassionate, and rights-aligned mental health care. We are deeply alarmed by recent federal developments that threaten this basic principle, namely, the pause on enforcement of the 2024 Mental Health and Substance Use Disorder Parity Rule and the proposed cuts to Medicaid outlined in the House Energy & Commerce Committee’s budget reconciliation plan. We join voices with a wide spectrum of organizations voicing concern, such as the American Association for People with Disabilities and the American Medical Association.

The suspension of mental health parity enforcement undermines hard-won protections that ensure mental health care is covered no less favorably than physical health care. These protections are vital for people seeking treatment for experiences commonly diagnosed as psychosis, who already face significant barriers to accessing effective, person-centered support within the US Mental Health System. Without rigorous parity enforcement, insurance companies may once again deny or limit mental health coverage, further marginalizing those already underserved by our system.

Equally concerning are the proposed Medicaid cuts, which could eliminate health coverage for millions and introduce new bureaucratic hurdles such as work requirements and more frequent eligibility reviews. Medicaid is the primary funder of mental health services in the United States and a lifeline for people experiencing psychosis. Dismantling Medicaid will not promote independence, it will lead to greater suffering, more hospitalizations, and higher rates of poverty, homelessness, and early death.

What is needed now, at a moment in history where we are seeing a rise in coercive mental health policy, is not more barriers to care, but deeper investments in trauma-informed, recovery-oriented, psychosocial supports. Parity and Medicaid access are foundational to achieving this goal.

As a national organization rooted in nearly 70 years of global advocacy for humane care, ISPS-US calls on policymakers to:

  • Fully enforce the Mental Health Parity and Addiction Equity Act and the 2024 Final Rule;
  • Reject any cuts to Medicaid, including the imposition of harmful work requirements;

We urge our members, partners, and allies to speak out against these harmful proposals and to continue advocating for a mental health system that centers comprehensive access, equity, autonomy, and the full humanity of every individual.

Take Action Now
Protect access to compassionate, equitable mental health care:

  • Contact your elected officials and urge them to enforce the Mental Health Parity and Addiction Equity Act -insurance coverage for mental health must be equal to physical health.
  • Say no to Medicaid cuts. These proposed changes would strip millions of vital mental health services. Use the American Association for People with Disabilities advocacy tool to easily contact your representatives and demand they reject this harmful legislation.

Together, we can defend access to critical mental health care services for the most in need.

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