The Cons of Using Insurance for Mental Health Sessions

While using insurance can help reduce the cost of therapy, there are some important considerations to be aware of:

1. A Mental Health Diagnosis Is Required
To use insurance, therapists are required to provide a formal mental health diagnosis (such as depression, anxiety, PTSD, etc.). This diagnosis becomes part of your permanent medical record and may impact future applications for life insurance, certain jobs, or legal matters.

2. Limited Privacy and Confidentiality
Insurance companies have the right to audit your records, which means your personal information, treatment notes, and diagnosis may be reviewed by third-party reviewers. This can reduce your level of privacy and may feel invasive for some clients.

3. Session Limits and Restricted Treatment Options
Insurance plans often limit the number of sessions you can have per year or may only cover certain types of therapy. This can interfere with the pace, depth, and effectiveness of treatment—especially for complex trauma, addiction recovery, or relational work that requires a longer-term, individualized approach.

4. Lack of Coverage for Couples or Coaching
Most insurance companies do not cover couples therapy unless one partner has a diagnosable mental health condition. Coaching services are also not covered, even though they can be incredibly valuable for navigating toxic relationships, personal growth, and self-worth recovery.

5. Delays and Denials in Care
Insurance companies may require pre-authorization, deny claims, or delay payment for services, which can create unnecessary stress or interruptions in care. This can be especially frustrating when you're already in a vulnerable place and seeking support.