Growing any business requires customers, and therapy is no different. In some cases, especially as you’re first starting out, you are going to feel like you’re in survival mode – like you need to accept any patient you can find in order to keep the lights on.
In some ways, that’s true. It is very challenging to fill up an entire caseload overnight, and yet the more patients you have, the more comfortable you will be with your finances and the more likely you will be able to continue to enjoy the freedom of a practice in the short and long term.
One way that new practices can find more patients is by accepting insurance. Insurance not only makes it easier for patients to convert (because you cost them so much less out of pocket), but many insurance agencies will refer new patients to you as soon as you’re on their rolls.
To be clear: there is both nothing wrong with accepting insurance, and most therapists do as they start their practice. It’s a great way to fill up your client list faster and make sure that you’re not struggling financially. There are many situations in which accepting insurance early on is *recommended* as a way to help you through those first few years.
But, if you talk to therapists that are successful – the ones that are enjoying not only the freedom of a practice, but the wealth of it – you’ll find that many of them either do not accept insurance or prioritize cash paying clients.
Why?
- Insurance companies often pay much less to the provider, decreasing your revenue.
- Insurance companies may limit how often the client can see the provider.
- Insurance companies have a set, non-negotiable rate, no matter who the client is.
Cash clients are different. Cash clients pay more with fewer limitations and fees. You can also adjust your costs based on the client’s needs and affluence. You get to keep every dollar that comes in, and you can change or adjust your rates at any time.
Accepting insurance is great for survival. But cash clients are what turn a fulfilling practice into an even more profitable one.
But how do you get more cash clients?
Guidance and Support with PsychFusion
Part of my goal as a private practice consultant here at PsychFusion is to help you do exactly that. Each situation – and each therapist – is unique in both their needs, abilities, and goals. Working together is how we’re going to determine when you’re ready for cash clients and how you can make the switch. But, if you want to try to get more cash clients, you’ll need to do the following:
- Market Yourself – Insurance clients are sent your way. Cash clients have to find you. The only way they’ll be able to do that is if you’re actively marketing yourself so that people willing to make cash payments can find you.
- Know and Establish Your “Why” – The average person does not know the difference between any two therapists. So, you’ll need to be able to confidently answer the question “why you?” What is your niche? What makes you different? Why should someone pay for you and not one of the other 50 therapists available?
- Show You’ll Help Them with Reimbursement – Even the wealthiest people do not typically want to pay completely out of pocket for their therapy. Make sure you have support for them to get reimbursed as an out of network provider, including a Super Bill and direction for them to receive some money back.
You also have do decide that YOU are ready for cash clients and all that entails. Cash clients are going to be pickier about who they see, and they’re going to want to know you’re available, that you care about them, and that you’re dedicated to helping them thrive.
It’s much easier for them to find a new therapist than it is an insurance reliant client. If you are not in a place where you’re ready to give each patient your full effort and attention, you may not be ready for cash clients yet.
Let’s Connect!
My name is Audrey Jung. I am a mental health private practice coach and consultant. I help therapists open and grow their private practices. If you would like to escape the confines of the public health world an open a private practice, or you already have a private practice and you’d like help growing it, please reach out to me today, and let’s begin helping you grow the practice of your dreams.