In New York, insurance companies will now be required to include coverage for treatment of most mental illnesses in their policies under a new law signed by Gov. George Pataki on Friday.

Under the law, insurance companies must cover at least 20 outpatient visits and 30 inpatient visits per year for treatment of mental illnesses such as schizophrenia, depression, attention-deficit disorder and eating disorders.

It will not, however, require coverage for treatment of post traumatic stress disorder, or for drug and alcohol dependencies -- a concession that was necessary to win sufficient support to pass the bill. Its sponsors have vowed to add those disorders to the list covered by the new law in future years.

Opponents have argued that "Timothy's Law" will result in a rise in insurance premiums and place a burden on small businesses, but those with fewer than 50 employees won't have to pay for the additional coverage -- the state will subsidize the cost. However, larger firms will be required to foot the bill.

The law is named for Timothy O'Clair, who took his own life in 2001 at the age of 12. Because his family's health insurance did not cover Timothy's mental illness, his parents, Tom and Donna O'Clair, were forced to give up custody of him so that he could qualify for treatment state-funded treatment.

Timothy's parents struggled for years to win support for a legal requirement that insurance policies include coverage for treatment of mental as well as physical ailments. The two were present at the state Capitol when the governor signed the bill into law.