Three Government Sources That Pay for Mental Health Care

Nearly 58 million people will suffer from an episode of mental illness in any given year in America, the National Institute of Mental Health estimated in 2010. Mental illness takes a huge toll on patients and their families, especially financially because treatment is rarely short-term or inexpensive. Many patients without health insurance coverage for mental illnesses simply go without treatment. Fortunately, the federal government offers programs that help veterans, the poor and elderly disabled receive treatment for anxiety, depression, post-traumatic stress disorder and a host of other mental health problems.

Medicaid

• Medicaid is the largest source of funding -- both public and private -- for the treatment and support of the mentally ill. This federally funded public health care assists both children and adults suffering from serious mental problems that are either crippling and/or chronic. Medicaid typically serves poor families with children and the disabled, however recipients must meet a variety of financial and medical eligibility requirements in order to receive assistance. Medicaid rules give each state's human services agency broad flexibility in how to spend and allocate Medicaid funds, so available services and eligibility vary from state to state.

Medicare

• Medicare is federally funded health care for the elderly, beginning at age 65; coverage includes mental health care. Patients must pay an annual deductible amount plus co-payments for the services they receive. In 2010, the Medicare yearly deductible was $155, and the co-payment for outpatient mental-health care was 45 percent. Medicare Part A helps pay for inpatient mental health care, while Medicare Part B helps pay for outpatient treatment such as group therapy, individual counseling, psychiatric care and lab tests. Medicare Part D covers prescriptions required to treat your mental illness. Not all medical practitioners and health care facilities accept Medicare payments, and not all mental-health services are approved by Medicare.

Veterans Health Administration

• The federal government allocates funds for the mental health care needs of military veterans. The U.S. Department of Veterans Affairs' Office of Mental Health Services oversees these benefits. Veterans may receive mental health care at VA medical centers, outpatient clinics and Vet Centers throughout the country, as well as at community inpatient and outpatient facilities, nursing homes and residential care facilities. Services include specialized treatment for post-traumatic stress disorder, violence prevention, post-deployment problems, substance abuse, suicide prevention and military sexual trauma.