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Writer's pictureBrittany Stilwell

Why Therapists Don't Accept Insurance

Updated: Nov 22

The Truth About Therapists Who Don’t Take Insurance

Why therapists don't accept insurance

Why Therapists Don't Accept Insurance: Are they scamming me?

When you're looking for a therapist, one of the first questions you might ask is, “Do you take insurance?” And more often than not, the therapist will say they’re out-of-network with insurance.

But why ?? Is it a scam? Is your therapist just after your money? Do they even care?

Let’s break it down and get to the real reason why many therapists—especially those offering quality care—don’t take insurance, and why that’s actually a good thing for you.


Insurance & Mental Health Care: Why Therapists Don’t Take Insurance

Here’s the truth: insurance companies simply don’t pay therapists enough to make it sustainable. The average reimbursement for therapists is $40-80 per session, which is about the same as an intern fresh out of grad school. This is far below a livable wage for a professional with years of education and training.

Now imagine trying to do an emotionally demanding job like therapy, day in and day out, while also overworked and underpaid. Burnout becomes inevitable, and the quality of care suffers.


How Cheap Therapy Leads to Poor Quality Care

If your therapist is seeing 35, 40, or more clients per week just to make ends meet, it’s a recipe for burnout. And a burnt-out therapist can’t give you the attention and care you need.


When therapists accept insurance, they often have to take on more clients, leading to compassion fatigue, emotional exhaustion, and lower quality care. This ultimately means you might spend more time and more money in therapy, only to receive subpar results.


But at The Mind Parlor, we believe in doing things differently. By eliminating the barriers set by insurance companies and working directly with the client, we’re able to offer affordable therapy that doesn’t compromise on quality.


Therapy in Session in Texas

Affordable Care Without Insurance: How We Do It?

Okay, so what if your therapist doesn’t take insurance? Does that mean therapy is out of reach financially? Not at all! In fact, at The Mind Parlor, we make sure therapy stays accessible and affordable without sacrificing quality.

At The Mind Parlor, we’re committed to more than just individual therapy sessions. To ensure the highest level of care for our clients and foster continual growth for our clinicians, we hold two-hour collaborative meetings twice a month.


How to Find Affordable Care Without Sacrificing Quality

There are ways to make therapy more affordable—even without insurance—while still getting high-quality care. Here are a few strategies:


Option #1: Work with a Therapist in a Collaborative Team


At The Mind Parlor, our graduate-level interns work within a collaborative team environment. This means they receive guidance and feedback from senior therapists, ensuring that you benefit from multiple therapists’ expertise, even at a lower price. Everyone on staff is required to collaborate which leads to more clinically advanced therapists & highly reduced likelihood of burnout. The client is getting multiple heads for the price of one.


Option #2: Space Out Your Sessions


Instead of weekly sessions, consider bi-weekly appointments with a more experienced therapist. For example:

  • Bi-weekly sessions with a fully licensed therapist at $135 costs $270/month.

  • Weekly sessions with a licensed associate at $90 costs $360/month.

By reducing the frequency of sessions but working with a therapist who can make quicker progress, you can save both time and money.


Why Therapists Avoid Insurance: The Hidden Problems

Beyond just paying poorly, insurance companies often impose restrictions on the kind of care you can receive. This can lead to a whole host of problems:


Problem #1: Insurance Dictates Your Care

When you use insurance, it’s often not you or your therapist deciding how many sessions you need or what kind of therapy is best—it’s the insurance company. They may limit the number of sessions, require specific treatment plans, or even deny coverage based on the type of therapy you need.


Would you trust an insurance company—where the person making the decision isn’t even a mental health professional—to decide what’s best for your emotional wellbeing? Neither would we.


Problem #2: Privacy Concerns

Insurance requires a diagnosis, which then becomes part of your permanent medical record. While therapists are committed to confidentiality, once that diagnosis is reported, insurance companies can use it however they see fit—including potentially raising your premiums.


For members of the LGBTQ+ community or those seeking care for gender identity, this can become even more problematic. Certain types of therapy may not be covered, or you might face discrimination simply because of your diagnosis.


Is my therapist scamming me

So... Is My Therapist Scamming Me?

If your therapist doesn’t take insurance, are they just trying to take advantage of you? No.


The truth is, many therapists choose to opt out of insurance so they can provide you with better care, avoid burnout, and ensure their own mental health and wellbeing. Therapists enter this field because they genuinely want to help people, not to get rich—trust us, the pay isn't great.


At The Mind Parlor, we’ve found ways to offer affordable care while maintaining the high standards you deserve. You get personalized, compassionate therapy that doesn’t compromise on quality, without the limitations that come with insurance.


Don’t take our word for it – Here are 5 more reputable articles which describe the same issues with insurance. 



The Mind Parlor: Affordable, Quality Care in Texas


If you're looking for therapy that’s both affordable and high quality, The Mind Parlor is here to help. By offering a collaborative group practice, we ensure that even our lower-cost therapists receive support and guidance from more experienced professionals.


Our Pricing Structure

  • $65: Graduate Counseling Interns (supervised by licensed professionals)

  • $90-115: Licensed Associates (completing residency & supervised by fully licensed counselors)

  • $135-165: Fully Licensed Counselors

This tiered pricing system ensures that everyone can access the care they need, no matter their budget.


We know how important it is to get quality care, and we’re here to make sure you can afford it. Book an appointment today, and let’s start your journey to better mental health—without breaking the bank.


Why don’t therapists take insurance?

Many therapists choose not to accept insurance because the reimbursement rates are too low, often between $40 and $80 per session. This doesn’t cover the cost of running a private practice and can lead to therapist burnout, which ultimately affects the quality of care. By not taking insurance, therapists can focus on providing better, more personalized care without the limitations imposed by insurance companies.


How can therapy be affordable without insurance?

Therapy can still be affordable without using insurance! At The Mind Parlor, we offer sessions starting at just $65 with our supervised graduate-level counselors. Our tiered pricing system ensures that everyone can access the care they need, regardless of their budget.


Does my therapist not care if they don’t take insurance?

Absolutely not. In fact, by choosing not to work with insurance, your therapist is likely protecting both their well-being and your care. Therapists often opt out of insurance to avoid burnout, allowing them to give you the focused, high-quality attention you deserve.


Will I get the same quality of care if I choose a lower-cost therapist at The Mind Parlor?

Yes! At The Mind Parlor, our lower-cost therapists, such as graduate-level interns, are not only closely supervised by experienced licensed professionals, but they also participate in bi-monthly collaborative team meetings. While supervision is a standard requirement across all practices, our collaborative model is what truly sets us apart. This unique approach ensures that each therapist benefits from the shared expertise of multiple professionals, enhancing the quality of care you receive—even at a reduced rate.


What are the benefits of working with an out-of-network therapist?

By working with an out-of-network therapist, you receive personalized, unrestricted care without insurance limitations. This means no restrictions on the number of sessions, no dictated treatment plans, and no diagnoses being reported to your insurance company. It also protects your privacy and allows for a more flexible, tailored therapeutic experience.






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