NC S566

Requires all health benefit plans to provide coverage for mental health conditions that is no less favorable than coverage for physical health conditions, including equal deductibles, coinsurance, co-payments, and out-of-pocket limits

Mandates that medical necessity determinations for substance use disorders rely solely on the most recent American Society of Addiction Medicine criteria, rather than allowing insurers to develop their own criteria

Requires the State Treasurer and Executive Administrator of the NC State Health Plan to review all utilization review practices and third-party contracts for compliance by the start of the next plan year

Updates statutory terminology by replacing "chemical dependency" with "substance use disorder" and "mental illness" with "mental health condition" across multiple insurance statutes

Effective October 1, 2025, applying to insurance contracts issued, renewed, or amended on or after that date