Many people have concerns about the cost of therapy, especially in NYC where the average rate can be between $150-300.

If you’re concerned about the cost of therapy, staying in-network and using insurance for therapy can seem like the best option when seeking care. However, many people don’t know or consider the benefits of working with a private-pay therapist that may be worth the additional investment.

Additionally, many insurance plans offer out-of-network coverage that can help reduce the overall cost of therapy – making the final cost comparable to seeing an in-network therapist.

Knowing the pros and cons of seeing an in-network versus out-of-network/private-pay therapist can help empower you as you search for the right therapist for you and make a decision that feels right and fits your needs and budget. Being informed is powerful, and it will make the process of finding a therapist easier and help you feel more confident in the process.

How Does Using Insurance For Therapy Work?

There are a few different ways using insurance for therapy can work:

1. You can choose to see an in-network therapist and pay a co-pay, just like when you go to the dentist or your primary care physician. This is someone who your health insurance company has a contract with and has agreed to pay a pre-negotiated rate. In this scenario, you are responsible for the cost of your co-pay.
2. You could also choose to see a private-pay therapist and use your out-of-network coverage, typically between 50-100% of the usual and customary rate (UCR) to get a significant portion of the fee reimbursed. In this case, you would pay your therapist directly upfront and be responsible for the remaining portion of the fee after the processed claim.

Many people incorrectly assume that using insurance for therapy means they must see an in-network provider. However, there are many plans that offer out-of-network coverage that allow you to have more freedom when it comes to finding a therapist. Ideally, you can expand your search and choose a therapist based on what feels like a good fit versus being restricted to only in-network providers.

What Are The Benefits of Seeing a Private-Pay Therapist?

1. Easier time finding a good fit

One of the most significant determining factors in your success and satisfaction with therapy is the relationship you develop with your therapist. Remember, this is the person who you have confidence in and feel safe enough with to explore many private and sensitive thoughts and feelings.  This helps you identify your focus when searching for a therapist who you can build an alliance with.

Not only is selecting a therapist that you connect with and trust critical, it may also accelerate the work and possibly result in a shorter treatment period in the long run.

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Not only is selecting a therapist that you connect with and trust critical, it may also accelerate the work and possibly result in a shorter treatment period in the long run.

If you are limiting your search to the small pool of in-network therapists, you may end up settling for a less-than-ideal fit. This can potentially result in less satisfying therapeutic experience and possibly lead you to the difficult decision of having to switch therapists in the future.

Starting over with a new therapist and building trust takes time and courage, so you want to feel confident that you’ve made the right choice versus making a decision that was restricted to a limited network.

2. The power to determine your treatment method and length

When you use your out-of-network benefits, your network and search pool expands. As a result, you can seek therapists who specialize in specific treatments that interest you and choose how long you want to stay in therapy.

Whether you want to pursue a therapeutic approach that requires a specific skillset, or meet with your therapist more frequently, you’re in control of your treatment. You’re more likely to have the power to find a therapist and a process that works for you.

The power to make this choice can be very empowering and expands your horizons.

3. The ability to get help when you need it

As with the previous dilemmas, staying in-network can, unfortunately, greatly limit your options when it comes to finding a therapist. Many therapists who are in-network with an insurance company are often full because the cost of entry is usually more attractive to many clients who wish to remain in the network.

In-network therapists generally have a full caseload, which is important to consider if you’re looking for a therapist with substantial energy to dedicate to individual clients. In-network providers may be dealing with fuller schedules, which potentially means greater stress and less accessibility.

Seeing an in-network provider means you may have to join a waiting list. A prime example of this is evidenced by a study that found the average wait time to see a psychiatrist in a major metropolitan area was 25 days.

If you’re dealing with mental health concerns and struggling in the present to the point that it makes it difficult to function in your daily life, you’ll be better served by not delaying or having to wait to get help.

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If you’re dealing with mental health concerns and struggling in the present to the point that it makes it difficult to function in your daily life, you’ll be better served by not delaying or having to wait to get help. You shouldn’t have to suffer alone and seeing a therapist with more flexibility could help you  get help sooner and at a time when you need it.

The good news is that if you are open to using your out-of-network benefits and seeing a private pay therapist, you’re likely to find a therapist who is accessible and available to provide timely help.

4. Greater control over your medical information

Anytime an individual uses their insurance benefits, they are inviting the insurance companies to potentially have a say in the course of treatment.  Not only do insurers have a say in who you can see and how frequently you can see them, they also have the right to ask for access to your mental health records.

Insurers can request confidential information – including your treatment type, diagnosis, and progress notes. This information is fair-play when using insurance for therapy to see an in-network provider, since insurers determine if your mental health care is medically necessary and covered under your policy.

If you feel uncomfortable knowing that your private medical information is accessible to your insurer at any point in time, going with a private-pay therapist can give you more privacy and, therefore, peace of mind.

5. The opportunity to work with less emphasis on diagnosis

In order for insurance companies to reimburse you for therapy, your therapist must assign you a diagnosis for the sake of the claim. However, there’s a good chance you may not be seeking treatment for a specific condition or medical reason. You could be seeking help to further your personal growth and to reach your personal goals.

In that case, you may not want to be assigned a formal diagnosis from your therapist that would be added to your medical record. If you have any worries surrounding the impact of a mental health diagnosis on your record, it may be worth looking into an out-of-network/private pay therapist who isn’t contractually bound to an insurance company the way an in-network provider is.

6. More options if you have specific needs or criteria

If you’re someone with a unique circumstance or need, you might be interested in seeing a specialist who is familiar with your issue or situation. In-network providers may not be as prolific or offer as highly specialized services such as:

• Art therapy
• Identity-centered therapy
• Play therapy
• Couples therapy
• Family therapy

Having a therapist who is a trained specialist in the areas that matter the most to you could mean the difference between an okay therapy experience and a transformative one. Choosing a specialized therapist is a step you can take in order to set yourself up for success in therapy.

I’m Not Using Insurance for Therapy – How Should I Be Thinking About the Cost?

So now that you know a bit more about the difference between in-network versus out-of-network coverage -you may be wondering how much therapy costs with insurance after you consider the pros and cons? You might find that you would prefer to pay more for the peace of mind and accessibility that comes with a private-pay therapist.

If you do decide to pursue and experience the freedom of working with a private-pay therapist, there are many ways that you can reduce the cost of your sessions. 

1. Consider putting funds into a Health Savings Account (HSA) or Flexible Spending Account (FSA).

You can put away a significant amount of money into your HSA and FSA at the beginning of each year. This is tax-deductible money that you can use to pay for your therapy sessions.

2. Ask therapists if they offer sliding scale services. 

Some therapists at our practice put aside a number of slots for clients  in financial need and offer them at a reduced fee. Directories like Psychology Today and Open Path can also help you find therapists who offer low fee sessions. You can check a therapist’s website to see if they mention a sliding scale fee. Even if they don’t you can always reach out, explain your situation, and ask if they could work with your budget. There’s no harm in asking.

3.  Look for therapy training programs and community mental health agencies.

Many university training programs for mental health clinicians have clinics where members of the community can get low-cost therapy. You can Google “therapy training programs near me” to see if any come up.  

There are also many community based mental health organizations that provide services at a low cost. They are usually funded by federal, state, and/or local government programs. You can find these by asking your doctor’s office for recommendations, searching on Google, or calling your county health department.  

the pros and cons of using insurance for therapy – Is Paying for Therapy Worth It?

Imagine one thing that you’re currently struggling with. Maybe you’re having trouble communicating honestly with your partner. Maybe you’re feeling “stuck” in life. Perhaps you’re dealing with feelings of guilt for not being the person you think you should be.

Whatever it is that you’re dealing with, therapy can give you a safe space to explore your thoughts, feelings, and worries about the issue. Eventually, therapy can help you identify where these feelings are coming from and give you the tools to either prevent or cope with these feelings in a healthy way.

This is just one example of both the short and long-term benefits of therapy. Depending on your personal goals, therapy can help you:

• Increase your self-esteem
• Quiet negative thoughts
• Communicate more effectively with others
• Connect more authentically and honestly with others and yourself
• Gain insight into what fulfills you and makes you truly happy
• Reduce stress in your day-to-day
• Learn to respond more mindfully to certain situations

Above all, therapy is an important investment in yourself and your emotional health and wellness. Working with a therapist on your current or past struggles is the equivalent of exercising and eating right for your physical health. Your emotional health matters.

Mental wellness doesn’t come by chance or luck – it requires that you feel safe, secure, and courageous enough to put in the work so that you can see and feel the many positive benefits and results therapy offers.

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Mental wellness doesn’t come by chance or luck – it requires that you feel safe, secure, and courageous enough to put in the work so that you can see and feel the many positive benefits and results therapy offers.

We can all use support and a little bit of help in life. There is no shame in creating space for yourself, be it due to sadness, stress, or wanting to simply develop insight and improve the quality of your life with therapy. Remember that no one can do or be expected to do everything by themselves.

We’re happy to help clients learn about the pros and cons of using insurance. To learn more about how we help clients navigate their out-of-network benefits visit our How Insurance Works page. If you’d like help verifying your out-of-network benefits, simply submit your insurance information through our Check your Benefits form and our billing team will be in touch shortly. Please don’t hesitate to contact us with questions and to learn more about how we can help you.

Want to explore the freedon of going out-of-network? Share your preferences on our Therapist Matching Questionnaire to connect with a therapist who would be a good fit for you for a free consultation.

If you’ve launched a new venture, started your own business, or even pursued a side hustle, you likely already know that the entrepreneurial path can be as tough as it is rewarding.

Chances are, you’ve felt a mix of excitement, fear, and overwhelm. With all of the ups, downs, and uncertainties that come with the entrepreneurial journey, it can help to talk with someone who can support you through the ebbs and flows.

Fortunately, there are many resources out there to help you feel supported on the entrepreneurial path. You may benefit from working with a coach or mentor, or by joining a masterminds group of fellow business owners who can cheer you on. 

In addition to these options, seeing a therapist can be a powerful way to learn healthy coping skills, practice self-care, and combat the challenges that arise when starting your own business.

Curious about how therapy can help support you? Here are 10 reasons to consider a therapist as part of your support system.

10 Ways Therapy Can Help Entrepreneurs

1. Navigate Ambiguity
2. Deal with Pressure and Perfectionism
3. Reach Your Business Goals
4. Tune Into Your Body
5. Connect With Your Values
6. Feel Less Alone
7. Combat Fear of Failure
8. Set Healthy Boundaries
9. Increase Your Confidence
10. Show Up For Yourself

1. Therapy can help you navigate ambiguity.

As an entrepreneur, you’re no stranger to ambiguity and having to navigate an uncertain future. Maybe you’re launching a new idea and you’re not sure how it’ll be received. It’s possible you’re not sure where your next paycheck will come from, or perhaps you want to raise capital and have no clue where to begin.

During these moments, it’s easy to be hard on yourself and feel insecure about your path. Therapy can be a great tool for helping you manage difficult thoughts, emotions, and insecurities that arise. Plus, with a trusted therapist, you can learn about healthy ways to approach an uncertain future, making it easier to navigate ambiguity in the long run.

2. Therapy can help you deal with pressure and perfectionism.

When launching a project on your own, it can feel like the weight of the world rests on your shoulders. You may feel like you have to do everything 100% yourself, that there’s little room for error, or that failure is simply not an option. As an entrepreneur, you’re likely a highly ambitious go-getter with big dreams, and it can feel exhausting to consistently set the bar high for yourself. It can feel like your work is never enough.

Psychotherapists at Clarity Therapy help clients build resilience and feel confident in their personal strengths and abilities. When it comes to perfectionism, it’s important for entrepreneurs to embrace the journey, and know that it’s okay to mess up along the way.

When it comes to perfectionism, it’s important for entrepreneurs to embrace the journey, and know that it’s okay to mess up along the way.

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A trusted therapist can help you unpack how you’re feeling and provide a safe space for you to explore your beliefs around perfectionism. Therapy can also help alleviate the pressure to perform perfectly all the time, providing a space where your feelings and experiences are affirmed and validated.

3. Therapy can help you reach your business goals. 

Chances are, you have a million items on your to-do list and not enough hours in the day to address them. Therapy can be an excellent resource for helping you stay on track toward both your personal and professional goals. Plus, it can give you a roadmap for how to achieve them. 

Therapists who specialize in this area often work with entrepreneurial clients who are juggling multiple business ideas at once, from creating an online fitness platform to selling baked goods to launching a new clothing line. You’re allowed to have all of these dreams and goals, and allowed to see them through. For many, it comes down to setting realistic goals and a willingness to refine your plan again and again. Most of the time it’s a matter of taking one small step that accumulates into a bigger impact over time.

A therapist can help you with goal-setting, organizational skills, and accountability as you work toward achieving each exciting milestone. During therapy, you may be encouraged to use worksheets, personal calendars, or make a list of SMART goals (specific, measurable, attainable, relevant, time-sensitive) to help you stay on track.

4. Therapy can help you tune into your body.

How many times have you pulled an all-nighter to work on your next genius idea, or skipped meals to crank out a project in a few hours? When was the last time you got a good night’s rest? Are you practicing proper eating habits, drinking enough water, and leaving some time in your schedule for self-care? If not, it may be time to check in with your physical health.

When you’re pouring your heart and soul into your business, taking care of your body can often fall to the wayside. Seeking therapy can be a great way to tune into how you’re feeling physically, mentally, and emotionally.

A therapist can help you take inventory of your current lifestyle and give you a sense of accountability that will encourage healthy habits as you tackle the challenging world of entrepreneurship. 

Understanding and fostering a strong sense of values can help you stay connected to your entrepreneurial vision and serve as a foundation for the work you do.

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5. Therapy can help you connect with your values.

As an entrepreneur, staying authentic to your values is essential for fueling your vision. There will be difficult moments along the way, and in these moments, recalling your values can help ground you in what’s really important. Therapy helps you explore your value systems, from relationships and personal wellness to the values you want to instill in your company. 

Entrepreneurs often have a particular vision they want to bring to fruition. For some people during this process, they can get lost in the ‘how’ and start forgetting their ‘why.’

Therapy can even help clients uncover their values through personality inventories such as the Myers-Briggs Type Indicator (MBTI). Results identify your key strengths and remind you of the characteristics that will keep you grounded while creating your business. 

Understanding and fostering a strong sense of values can help you stay connected to your entrepreneurial vision and serve as a foundation for the work you do. When you have a strong foundation, it becomes easier to approach your work with enthusiasm, focus, and healthy perspective.

6. Therapy can help you feel less alone.

Being an entrepreneur can be isolating. You’re hustling away at your dream, often behind closed doors, working toward a cause you believe in. Maybe your family doesn’t understand what you’re doing, or your friends who work 9–5 jobs don’t fully understand the struggles you’re experiencing.

As an entrepreneur, you may often feel like you’re alone in the process. The truth is, you don’t have to do it alone. Maybe there’s a person in your life who is really good at finance who can give you a few pointers, or a template to help you track your progress. It’s important to have a team of people who support your dream, your vision, and your goals—who can help make your dreams a reality.

It can be tough to connect with others when you’re in the trenches of building your own business. Therapy can help you feel less alone in the journey, providing a supportive space to share what you’re going through. Plus, your therapist can share valuable tips for combating isolation and increasing social support.

Connecting with a therapist can help you feel confident and supported, while ensuring that you’re not alone on this tricky yet exciting entrepreneurial journey.

7. Therapy can help you combat fear of failure.

“What will people think of me? What happens if nobody buys my product? What if I don’t meet my revenue goals?”

These are a few of the many concerns entrepreneurs grapple with when starting a new venture. They have big dreams and even bigger ambitions, but the fear of failure can be soul-crushing. 

Speaking with a therapist can be a great way to learn practices for overcoming fear of failure, such as mindfulness-based strategies or guided visualizations. Therapy can also help you develop stress management skills, shift negative thought patterns, and gain confidence in your endeavors.

8. Therapy can help you set healthy boundaries.

As an entrepreneur, you’re likely wearing multiple hats while chasing your business dreams. Between family, friends, clients, and professional networks, there comes a time when healthy boundaries are necessary to take care of your well-being. 

Setting boundaries (especially with people close to you!) can be tricky, and therapy is a great resource for exploring where you may need to establish some distance.

For instance, maybe you can’t be available for your friends during the work week, but you set aside quality time each month to catch up. Maybe your 14-hour work days aren’t exactly sustainable, and you need to rethink your boundaries around work hours.

Therapy helps you re-evaluate your schedule and set up a workflow and lifestyle that supports you.

People often undervalue what they’re good at. Everyone has a natural proclivity for something. Sometimes we just need someone to point us in the right direction.

 

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9. Therapy can help increase your confidence. 

Taking business courses. Creating a website. Networking. Following up with clients. Figuring out finances. Marketing yourself to the masses, unsure if what you’re doing is landing or falling on deaf ears. How many times have you looked at your hard work and thought, “Will this ever pay off?” 

Whether you’re just starting out or have been in the business game for a while, confidence is key. Therapy can help boost your self-esteem as you navigate the challenging road to entrepreneurship, and having a trusted therapist to validate your experience can be meaningful during the tough moments. 

People often undervalue what they’re good at. Skilled therapists encourage new entrepreneurs to take a chance on their ideas and remember their strengths. Everyone has a natural proclivity for something. Sometimes we just need someone to point us in the right direction.

10. Therapy allows you to show up for yourself.

Between juggling the personal, administrative, financial, and organizational aspects of your business, it can feel impossible to find time for yourself. While it feels like there are barely enough hours in the day, booking a therapy appointment is a great way to hold yourself accountable and take care of your mental, emotional, and physical wellbeing. 

For 45 minutes to an hour of your day, you have uninterrupted time that’s 100% tailored to you. Apart from the designated personal time, a therapist can help you show up more authentically and learn to advocate for yourself in new ways. Know that you, too, deserve the attention and care that you spend on your entrepreneurial dreams.

Entrepreneurship is no easy road, but you don’t have to walk the path alone. Therapy can be a powerful tool to help you practice self-care, establish healthy boundaries, boost your self-esteem, and more. Click here to connect with a therapist who provides counseling for entrepreneurs, and to explore if therapy is right for you.

We have experience helping new and seasoned entrepreneurs maintain their energy and wellbeing. Click here to connect with a therapist who specializes in working with entrepreneurs.