Five Steps to Developing Your Brand Identity as a Therapist

The first step in developing your brand identity is identifying what your identity is. What makes you unique as a therapist?
  • Specific training or credentials
  • Working with special populations (i.e., disabled individuals, geriatrics, individuals with addictions, middle-aged women)
Next, identify the target audience for this brand. Who needs your help? What is their gender? Age? Work status? Where do they live? What do they read/watch? What other professionals or companies serve these clients? (Schools, churches/clergy, physicians, other therapists, nonprofit organizations)

Cultivate a list of outcomes these clients can expect -- what are the results?

Develop your message: What do you want to say to your target client? What problems can you help solve for them?

Next, develop your messaging strategy -- how do you want to communicate with your prospective clients? (website, brochures, newsletters, articles, public speaking engagements, fact sheets, fliers, posters, banners, magazine ads?).

Finally, develop your "product" -- what services or product will you deliver them to generate revenue? These can include: individual sessions, groups, phone coaching, on-site consultation, tapes, books/booklets, etc.

These are the first steps to marketing your practice online and offline.

Looking for EAP Affiliations?

I came across this website -- EAPBridge.com -- and found it to be an interesting concept. For $18/year, your application is submitted to EAPs across the nation for consideration to join their panels. While I'm generally not a fan of paying to join individual provider panels, you might find this a useful strategy to find out about a large number of panels at once. (Basically, it's like paying $18 for a mailing list of EAPs who have indicated an interest in receiving information about providers.)

There is at least one Omaha-area EAP on their list -- Best Care EAP -- which is affiliated with Methodist Health Systems. I'd be interested in hearing from therapists who may have used this service ... and please note, this is NOT an endorsement of this service, as I don't know much about them beyond what I read on their website.

Men & Anger Group Starts Nov. 12

'Men and Anger' is a structured, time-limited group therapy experience designed to explore individual and shared types of anger and anger expression in men. The program will be led by Jim Haley, M.A. and Tom Haley, Ph.D. of Psychological and Counseling Services, P.C. They will be discussing triggers, risks, benefits, consequences, and interventions. They will also examine learned messages about anger for men as a group as well as for the individual. A primary goal of the group will be to access complex emotions often suppressed or stunted by the anger response.
The group will meet Wednesday evenings from 5:30 p.m. to 7 p.m. for 6 weeks (Nov. 12 to Dec. 17). Referrals will ideally be individuals previously or currently in individual therapy, although this is not a prerequisite. You may refer prospective group members to either facilitator for a brief phone screening. For more information, call 330-1537.

Comments About Pricing

On the survey of private practice therapists related to pricing/fees, we also asked therapists to share their comments about the topic. Here were some of the responses:

  • "The cost of doing business is increasing, so even if the dollar amount of income hasn't changed, there is still a decrease in real income."
  • "We have to continue to work harder for less money. Insurance companies are less antagonistic, but still cautious in giving money."
  • "Tricare has reduced their rate of pay, which has counteracted my increased business."
  • Comment: "Only my pie-in-the-sky wish that insurance would use the same universal pricing and forms and processes. And that it would be a reasonable fee. Sigh."
  • I have considered going to a cash payment only, letting the clients complete the insurance paperwork, to decrease my time doing paperwork and billing, but I'm not sure doing this would work. I could reduce my fees this way and simplify my practice, leaving more time for therapy hours. In terms of pricing, I don't really have a standard fee since insurance plans pay differently. I reduce my fee for people who are financially strapped and I also do some pro bono work."
  • "Transportation has been a large issue for low income clients, which means cancellations and 'no shows.'"
  • "I do some pro bono (work) and also lower my fees for those without insurance, so I really don't have a "standard" rate, nor have I calculated my average fee."
  • I would hope that APPT and others across the nation would stand up to managed care companies and let them know with our education and licensing, we do not deserve to be paid less than our mechanics working on our cars!! Even the heating/plumbing tech and the man who cleaned our carpets made more than we as LIMHPs make per hour! Pretty sad, huh?"
  • Nebraska has a new law regarding not reimbursing provisional psychologists have made it nearly impossible to attain enough hours or income (forced to take sliding scale as low as $10!) to remain a psychologist in Nebraska.
  • "I think it would help if fees were standardized somehow. Also, it would be great if there were some way to provide services for those who are low income or uninsured that did not put us at risk for claims of insurance fraud. We really need some way to have a legal and appropriate sliding fee scale when in private practice."
  • "Tricare rates have plummeted the past two years and are now below the reimbursement level for both Medicaid and Cigna."
If you are interested in learning more about how to utilize a charity clause with your clients (to be able to work with clients who have difficulty paying, without running afoul of insurance regulations), be sure to attend the APPT Fall Conference on Friday, Nov. 7 and attend the breakout session with an attorney from Erickson & Sederstrom, who will address this issue.

APPT Pricing Survey

Want to know what other private practice therapists in Nebraska charge? The Association of Private Practice Therapists conducted a survey of its members between July and September 2008, receiving 48 responses.

To give you an idea of the background of those responding, 30 percent of therapists have been practicing for 1-5 years; 20 percent for 6-10 years; and 17 percent for 11-15 years. Another 17 percent have been in practice more than 25 years. Please note that survey responses may be skewed towards younger, more technologically savvy therapists, as the survey was administered online.

The majority of therapists who completed the survey are masters degreed therapists -- 76 percent practice as a LMHP, LCSW, LMFT, or LIMHP. Another 14 percent have a Ph.D. but practice as a LMHP. Four percent practice as a Ph.D., while 6 percent are provisionally licensed.

The size of practice environments represented in the survey responses were quite diverse:
  • 27 percent are solo practitioners
  • 25 percent are in a group of 1-3 other therapists
  • 17 percent practice with 4-6 therapists
  • 27 percent practice in a group of 7-10 other therapists.
Nearly half of respondents (45 percent) rent their own office and practice independently. Twenty-three percent rent office space from a group practice. Another 21 percent share office space with a practice group but share expenses and have an ownership role.

Despite declining insurance reimbursement rates, therapists continue to rely on managed care and insurance for the majority of their practice income. Eighty-eight percent of therapists report that less than a quarter of their income is from private pay. Only one therapist derives more than 75 percent of his/her income from private pay sources.

Therapists reported an average fee of $107.34 for an individual session. Fees ranged from a low of $60 to a high of $150, with $95 as of the most-cited fee (23 percent).

When asked the highest fee they are paid by an insurance or managed care company for an individual session, the average was $97.69 (91 percent of the average "standard" fee).

With insurance or managed care, therapists report an average "lowest fee" of $53.05 for an individual session, just under half of the average "regular" session fee.

The "lowest" fee paid by an insurance or managed care company was reported to be $30, with $60 the most often-cited lowest fee.

When it comes to couples/family sessions, the average "standard" fee is $119.02, with a low of $65 and a high of $210.

The responses for the highest fee reimbursed by managed care sessions for couples and family sessions ranged from $65 to $175, with an average of $102.42 (86 percent of the standard fee).

The lowest managed care fee for a couple or family session was $59.45, with lowest fees ranging from $30 to $110.

Therapists were asked to describe changes that affected their change in income. Among those citing an increase in practice income, taking on more clients ("working more!") was the most often-given reason. To attract new clients, therapists report doing more consulting/supervision, incorporating in "niche" treatment options, doing more work in the legal system (especially DUIs), networking more, and generating EAP referrals.

For those who reported a decrease in practice income, higher operating expenses and lower reimbursement rates are the key factors, although variability in client load, an increased number of clients who are unable to pay copayments or deductibles (or without insurance entirely), and fewer private pay clients were also cited by numerous respondents. Other factors were therapists who were out of the office with an illness for a period of time and those who decided not to accept new Medicaid clients.

Other relevant statistics:

Number of hours (on average) therapists report seeing clients and performing administrative tasks:
  • Fewer than 10 hours - 6 percent
  • 11-20 hours - 10 percent
  • 21-30 hours - 27 percent
  • 31-40 hours - 21 percent
  • 41-50 hours - 21 percent
  • More than 50 hours - 13 percent
  • Other - 2 percent
Changes in practice income during the past two years (2006-07):
  • No change - 27 percent
  • Decrease of 1-25% - 23 percent
  • Decrease of 25-50% - 6 percent
  • Decrease of over 50% - None
  • Increase of 1-25% - 38 percent
  • Increase of 25-50% - 6 percent
  • Increase of over 50% - None
Average "standard" fee charged:
  • $90 - 9 percent
  • $95 - 23 percent
  • $100 - 11 percent
  • $110 - 19 percent
  • $120 - 9 percent
  • $125 - 9 percent

© 2008, Association of Private Practice Therapists. Please contact the APPT Administrator at (402) 393-4600 if you would like permission to reprint these results. For membership information, visit privatepractice.org.

Magellan Announces Provider Changes

In June, Magellan announced changes to their provider contracting system primarily affecting provisionally-licensed therapists. Here is the text of that letter:

Dear Provider:

As you are aware, Magellan Behavioral Health* (Magellan) manages mental health and substance abuse services for Nebraska Medicaid Managed Care Plan (NMMCP) members. In collaboration with the Division of Medicaid and Long-Term Care, Magellan is implementing changes in policies regarding the inclusion of provisionally licensed clinicians for the NMMCP provider network. These changes are applicable to provisionally licensed psychologists, provisionally licensed mental health practitioners (PLMHPs), and provisionally licensed alcohol and drug abuse counselors (PLADCs).

Effective July 1, 2008, we will implement the following guidelines regarding the inclusion of provisionally licensed clinicians for the NMCCP provider network:

  • Provisionally licensed clinicians who are currently NMMCP network practitioners in private or group practices will be "grandfathered in" and will remain in active status in the NMMCP network for up to two years, or July 1, 2010. As of July 1, 2010, practitioners must be fully licensed to continue network participation in private or group practices.
  • Provisionally licensed clinicians who are employed by an NMMCP-contracted organization will continue to be accepted for network participation. However, provisionally licensed clinicians who terminate their employment from an NMMCP-contracted organization will not be eligible for network participation in group or private practices until such time they become fully licensed.
  • Provisionally licensed clinicians who are not currently credentialed and contracted for the NMMCP provider network will not be accepted for network participation in private or group practices.
  • In order to remain in active network status, existing NMMCP network practitioners in private or group practices who have a provisional license due to expire prior to July 1, 2010, must become fully licensed prior to the expiration of their initial provisional license. Practitioners will not be allowed to continue network participation on a renewed provisional license.
Thank you for your cooperation with this matter. If you have any questions, please contact Teresa Danforth at (402) 437-4241 or Kathy Dinges at (402) 437-4214.

APPT Survey: After-Hours Emergency Policy

Recently, the Association of Private Practice Therapists conducted a survey of its members to determine if there is a local standard for how after-hours emergency calls are handled.

The survey was commissioned by the APPT Board of Directors in response to an insurance/managed care company's request for a therapist's after-hours emergency policy.

The full results of the survey will be reported in the October 2008 issue of The Compass, the newsletter of the Association of Private Practice Therapists. Beyond the results, however, it appears as if therapists may be struggling with their ethical requirement to serve clients with the practical applications of after-hours service -- of particular issue with sole practitioners.

"We have maintained the cost of a 'company' cell phone and a live answering service for many years," one therapist writes. "We have begun to question the need and utility of this, and will likely drop this soon. At the end of the day, if someone has a crisis that is life-threatening, talking to us just delays going to the hospital."