Timothy's Law also requires large group health insurance policies (with more than 50 employees or members) to provide coverage for adults and children diagnosed with biologically based mental illnesses and children diagnosed with serious emotional disturbances at the same level of coverage as is provided for other health conditions.

Timothy's Law is currently set to expire on Dec. 31.

The law will provide "New Yorkers with the mental health coverage they need to remain healthy and be productive residents of our state," said Gov. Paterson.

The Superintendent of Insurance, in consultation with the Office of Mental Health (OMH), as required by the law did an impact study that was given to Gov. Paterson today.

Among the report's findings was that access to 30/20 benefit mental health coverage increased from 42 percent to 100 percent in the combined large and small group markets. Access to coverage for biologically based mental illnesses and serious emotional disturbances in children beyond the 30/20 benefit increased from 9.6 percent to 43.7 percent in the small group market, and from 11 percent to 100 percent in the large group market.

The 30/20 benefit was found to have increased monthly costs by approximately $1.04 per member per month in the small group market, amounting to 1/2 of 1 percent of total monthly cost.

Timothy's Law is strengthened by a recently enacted federal mental health parity law. Enacted in October 2008, the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act does not mandate that employers provide coverage for mental health benefits, but requires that those large employer groups (more than 50 employees) that do provide mental health benefits must do so in full parity with other medical benefits covered under the policy.

After the federal act takes effect in October, Timothy's Law will require that large group policies provide mental health benefits, and the federal act will require that any such mental health benefits provided by large group policies be in full parity with other medical benefits.

New York State Insurance Superintendent Eric Dinallo said, "This report shows that Timothy's Law has been a success. More New Yorkers are getting better coverage for mental health care with no added cost to small businesses."