Best Mental Health Insurance Companies
Summary: Best Mental Health Insurance
Here’s an overview of ratings, plan offerings sold on the Affordable Care Act (ACA) marketplace at HealthCare.gov and the availability of telehealth services for the top-rated insurers.
Types of Health Insurance Plans Explained
Here are how the three common types of health insurance policies differ:
- Exclusive provider organization: You can see an in-network specialist without a referral if you have an EPO health insurance plan. The only out-of-network care EPO plans pay for are medical emergencies.
- Health maintenance organization: You usually must have a referral to see specialists with HMO health insurance. You won’t be covered if you seek care outside of the network, unless it’s for emergency care.
- Preferred provider organization: PPO plans allow you to get medical care from a provider outside the network, but the services are covered at a much smaller percentage. PPO health insurance plans usually don’t require referrals from your primary doctor to see specialists.
How To Choose the Best Mental Health Insurance
Les Masterson
Insurance Editor
Michelle Megna
Insurance Lead Editor
Ashlee Valentine
Insurance Editor
Network Size
The bigger the network, the better selection of providers and places where you can get treatment. Insurance companies that contract with lots of mental health providers in your area are your best bet, so I recommend checking the network size when choosing providers.
Insurance Editor
Covered Services
My advice: When comparing providers, pay attention to the services each plan covers. Consider choosing a plan that provides a good mix of inpatient and outpatient services for the most comprehensive coverage.
Insurance Lead Editor
Referrals
If you want to manage your own mental health care, it’s a good idea to look for plans that don’t require a referral for mental health visits, for instance a PPO health plan. Some health insurance plans, such as HMOs, require referrals from a primary care provider, while others don’t demand a referral.
Insurance Editor
What Is Covered by Mental Health Insurance?
If the reason you need mental health treatment is considered medically necessary, the treatment should be covered as specified in your plan’s summary of benefits and coverage.
Here are some of the mental health services covered by health insurance:
What Does Mental Health Insurance Not Cover?
Health insurance usually does not cover mental health treatments that aren’t connected to a medical diagnosis or that don’t involve clinically necessary intervention.
Suppose you are grieving a death but aren’t experiencing a health disorder such as depression. In that case, your health insurance may not cover therapy for your bereavement issues.
Here are examples of services that are usually not covered unless medically necessary:
- Boarding school programs that do not meet approved criteria for substance use disorder. residential level of care.
- Counseling services solely related to relationship dynamics, such as couples or family counseling.
- Halfway houses.
- Nicotine-related disorders.
- Third-party treatment and evaluation requests, for example, from a school or employer.
- Long-term mental health or addiction treatment.
- Urinalysis for drug screening.
Can You Buy Stand-Alone Mental Health Insurance?
No, you can’t buy stand-alone mental health insurance. Fortunately, most health insurance policies cover mental health conditions when clinically necessary.
Do All Health Insurance Companies Have to Offer Mental Health Coverage?
No, health insurance companies are not required to offer mental health coverage. However, if they do offer mental health coverage, it must be equal to or better than physical health coverage as mandated by the federal parity law.
Here’s an example: You can’t be charged a $200 copay for a psychologist visit and $50 for an annual physical with a primary care provider.
The parity law does not apply to Medicare. However, it does for other types of health insurance, such as ACA marketplace plans, group health insurance for companies with more than 50 employees, Medicaid and the Children’s Health Insurance Program.
Does Health Insurance Cost More if it Covers Mental Health?
No, it doesn’t necessarily cost more for health insurance that covers mental health treatment. The cost of health insurance—which usually provides mental health coverage—varies based on many factors, including your location, the insurance company and the type of plan you choose.
Compare health insurance quotes to identify the policies that provide the coverage you need with the lowest premium.
Related: Worst States For Mental Health
Other Options for Getting Mental Health Services
Private health insurance isn’t the only option for getting mental health coverage. Here are some other ways to get mental health treatment with or without insurance.
College Counselors
Campus health centers may offer mental health services with licensed counselors for free for full-time college students. On-campus counseling can help with issues such as anxiety, depression, stress management and substance abuse.
Employee Assistance Programs
Some employers offer Employee Assistance Programs (EAPs) that provide counseling and coaching for issues such as substance abuse, financial problems and dysfunctional relationships.
Nonprofit Organizations
You can get 24/7 crisis support and information about local and online treatment programs from nonprofit organizations that cater to mental health issues. Many of these organizations have toll-free hotlines. Here are some resources that are available nationwide:
- 988 Suicide and Crisis Lifeline
- NAMI Helpline (National Alliance on Mental Illness)
- SAMHSA National Helpline (Substance Abuse and Mental Health Services Administration)
- The Trevor Project
- ProjectHealthyMinds
Medicaid
Medicaid covers various mental health and substance abuse disorder treatments, including individual and group therapy, medical detox, partial hospitalization, residential treatment and medications. Medicaid is jointly funded by state and federal governments and provides health insurance for low-income Americans who meet specified state income requirements.
Therapy Apps
Mobile therapy apps that connect you with a licensed mental health professional virtually or over the phone might be worth considering if you want convenience. Many apps, like Talkspace and BetterHelp, charge a monthly fee rather than a per-session rate.
Related: 10 Best Online Therapy Services: Tried And Tested
Veterans Affairs
There are several ways to take advantage of mental health treatment services if you served in the military. In addition to emergency crisis care, the VA offers inpatient care for veterans with severe or life-threatening mental illness. It also offers outpatient care for veterans with serious mental illness who have difficulties functioning in daily life and regular outpatient care, which may include care provided over the phone, for veterans facing challenges in their lives.
Other noteworthy treatments include rehabilitation treatment and residential (live-in) programs for veterans with mental health problems and other needs (like those related to homelessness, job training and education). Additionally, primary care for many common mental and behavioral problems is provided.
Methodology
Forbes Advisor’s overall ratings for the best health insurance companies are based on:
- Complaints made to state insurance departments (50% of score): We used 2021 complaint data from the National Association of Insurance Commissioners.
- Plan ratings from the National Committee for Quality Assurance (25% of score): The National Committee for Quality Assurance (NCQA) is an independent, nonprofit organization that accredits health plans and produces ratings based on specific metrics.
- Plan ratings from the Affordable Care Marketplace (25% of score): We used the federal government’s overall quality rating for the company’s plan(s). Where government ratings weren’t available, a company’s Forbes Advisor rating is based on complaints and its NCQA scores.
Best Mental Health Insurance Frequently Asked Questions (FAQs)
Does standard health insurance cover mental health treatment?
Yes, mental health treatment is covered by most standard health insurance plans. Affordable Care Act marketplace health plans (available at HealthCare.gov) must provide coverage for mental health and substance abuse treatment. Mental health benefits are also included in many other health plans, such as employer-sponsored health insurance, Medicare and Medicaid
Can you be denied coverage for pre-existing conditions?
No, health insurance companies generally can’t deny coverage for a pre-existing condition, such as cancer, heart disease, diabetes or mental health disorders.
Does Medicare cover mental health?
Yes, Medicare covers mental health. Inpatient mental healthcare is covered by Medicare Part A, also called hospital coverage. Medicare Part B provides benefits for individual therapy, mental health screenings, partial hospitalization and medication management. Medicare Advantage, also known as Part C, may offer expanded mental health benefits beyond Parts A and B.
Medicare Part D covers most prescription medications for mental health treatment.
