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This is what you need for private pay
Transitioning from insurance to private pay may evoke surprising feelings of discomfort about your fees and retention of your current clients. If that sounds familiar, keep reading because I have a few tips for you.
I've been working with clients who transitioned from insurance to private pay practices since 2015 so I'll sum up the main challenges in this process like this:
Not knowing how to talk about the transition to existing clients.
Feeling uncomfortable establishing realistic fees for a sustainable practice.
Feeling lost and confused about attracting new clients.
You'll need to address these difficulties to get comfortable.
To help you, I've written an article that shows you how you can stop taking insurance in your private practice and transition to private pay with ease.
The rising costs of healthcare
According to PwC, healthcare costs are expected to rise by 7% due to inflation.
Providers are forced to seek higher reimbursements because of workforce shortages and high labor costs. That being said, some trends, like a shift toward cheaper outpatient care, are pushing costs down.
That's funny...
According to a new review from Changchun University of Chinese Medicine in China, humor therapy has shown a positive impact on depression and anxiety.
According to the article:
"The review included 29 studies of humor interventions conducted in nine countries, had a total of 2964 participants with a depression or anxiety diagnosis or those facing stressful situations such as children undergoing surgery."
Meanwhile in Canada
According to the Toronto Star, the mental well-being of Canadians has experienced a significant decline due to workplace pressures, inflation, and other reasons.
A study commissioned by Future Skills Centre included more than included 500 Canadians. 80% of the surveyed people cited work pressures as being the main contributors to their poor mental health.
Hi, AI
Turns out that empathy simulation is not the same as human empathy.
After a chatbot Tessa replaced a U.S. National Eating Disorders helpline, it was promptly discontinued for giving weight loss advice to people with eating disorders. NEDA is "carefully considering the next steps".
Despite that, there are more than 40 mental health chatbots globally, according to the International Journal of Medical Informatics. And often, people choose AI chats like ChatGPT to address private worries.
The Takeaway
This issue was dedicated to the topic of transitioning from insurance to private pay practice.
One of the main surprises for therapists in this transition is the sudden need to promote their practice. But losing insurance companies as referral sources doesn't mean that you can't attract clients who'll pay your fee. All you need is a bit of legwork and investment in a sound marketing strategy.
If you'd like to share your thoughts or questions about this, just reply to this email. I always respond.