Regence Blue Shield was fined $550,000 by Washington state regulators for failing to show its behavioral health coverage complies with mental health parity laws.
The Office of the Insurance Commissioner said the Regence did not submit required documentation demonstrating that behavioral health benefits are comparable to medical coverage, as mandated by state and federal law. The limited data it did provide revealed disparities in areas such as in-network reimbursement rates, according to a Nov. 24 report from Washington State Standard.
Regence disputed the violations but did not supply evidence supporting its position. The fine was levied Nov. 21 and announced Nov. 24.
“The data Regence provided, or in some cases failed to provide, demonstrates a lack of accountability for following this nation’s insurance laws,” Patty Kuderer, state insurance commissioner, said.
This is the second $550,000 penalty the state has issued in 2025 over mental health parity. In July, Premera Blue Cross was cited for similar violations and noncompliance provider directories.
Regence Blue Shield responded in a statement: “Everyone should have access to high-quality behavioral health care. We value our collaborative relationship with the Office of the Insurance Commissioner and worked diligently to provide comprehensive responses to the OIC’s inquiries. We implemented state and federal requirements for behavioral health access in good faith, made necessary updates and will continue prioritizing compliance while supporting future rulemaking for clear, consistent standards.”
