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Why does taking insurance have a bad rep – and why is it unfounded? What’s the difference between having an insurance strategy and just taking insurance generally? How can having an insurance strategy skyrocket your practice into much higher revenue brackets, allowing you to scale your business without spending more on marketing?
In this podcast episode, Melissa Schneider discusses the power of curating an amazing in-network insurance strategy for your group practice.
Podcast Sponsor: Headway
I want to thank Headway for sponsoring this episode. If you run a group practice, you know that accepting insurance can be overwhelming. Between credentialing, billing, and payroll, the admin side can easily take over your week.
Headway was built to help you handle this — and they’re the only platform designed specifically for in-network group practices. Whether you’re growing your team or running an established practice, Headway makes the business side easier with faster credentialing, higher per-session rates, and biweekly payments your team can count on. They work with therapy, psychiatric, and hybrid groups — and there are no subscription fees. Just the support you need to run your practice with ease.
Run your best group practice with Headway — trusted by thousands of group practice leaders to simplify insurance admin and reach more people through in-network care.
Curious how Headway can work for you?
Meet Melissa Schneider
In This Podcast
- Creating a practice that supports clinicians and clients
- How to scale your in-network practice
- Melissa’s advice to listeners
Creating a practice that supports clinicians and clients
Melissa is an expert in in-network insurances. From running two, large group practices that depend on insurance, she has accumulated invaluable experience over the years.
I think our first mission as practice owners is to understand the whole game, so that we can give people the best pay and the best benefits that we can reasonably afford for them. (Melissa Schneider)
While you can offer benefits to your clients and staff as a cash-pay practice, you can also really take a big step in caring for your people as a business owner while taking in-network payments for therapy services.
How to scale your in-network practice
Here are the six key aspects to Melissa’s simple and effective core business model. While you can have different aspects to consider, these are the important numbers that Melissa wants you to know:
1 – The average session fee that the practice brings in
2 – On average, what you pay for one session to be completed
3 – Know the average number of sessions that are completed in your practice within a month
4 – How many therapists you have on staff
5 – Expences as a percent of your revenue, which is usually between 15% to 30%
6 – If you have a W2 employee model, how much tax you are responsible for
Keeping these numbers in mind, Melissa experiments with two hypothetical practices, one that is private pay, and one which takes just one in-network insurance, to show the difference in earnings.
The surprising aspect? Taking insurance brings in more money and benefits for both the owner and the clinicians.
Let’s see what happens when we can get everybody full-time with that lower average rate. Surprisingly, [it’s] even better! Your therapists that are half out-of-network and half in-network could earn about $83k [annually] in this practice, plus you could give them benefits because they’re full-time, but what I want you to notice is that the owner in the out-of-network solution … is $134k, but in the in-network solution, the owner pay went up to $217k. This means that you would now have profit that you could start to make decisions about. This is how scale begins. (Melissa Schneider)
Your capacity to scale the practice rapidly increases when you start to go in-network with your practice!
Melissa’s advice to listeners
My old boss did not have an insurance strategy – he was just taking insurance, which is why insurance has a bad rep, right, for being low-paying, but you don’t need to do that! You can be insurance-savvy. (Melissa Schneider)
When you implement an insurance-strategy, instead of just accepting any old insurance, you unlock a vast potential for scalable growth and revenue that your business can use to expand enormously.
Be intentional with taking insurance, work with a professional, or explore additional resources to discover how exactly you can plan out your insurance model to maximize earnings for yourself, your staff, and services for your client base.
Sponsors Mentioned in this Episode:
Use Promo Code CYBER25 for massive Black Friday Discounts!
Curious how Headway can work for you?
Useful links mentioned in this episode:
- Check out our Practice Academy!
- Melissa’s “Back of the napkin business model“
- Sign Up to the Group Practice Boss Conference
Check out these additional resources:
Grow a Group Practice with Dr. Brandon Shurn | POP 1301
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Meet Joe Sanok
Joe Sanok helps counselors to create thriving practices that are the envy of other counselors. He has helped counselors to grow their businesses by 50-500% and is proud of all the private practice owners who are growing their income, influence, and impact on the world. Click here to explore consulting with Joe.
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