Handling insurance objections can be one of the most stressful parts of running a cash-based physical therapy practice. When prospects ask if you take insurance, it can trigger anxiety and confusion, leading to missed opportunities and lost revenue. However, learning how to confidently address this objection can transform your practice. In this blog post, we’ll break down a proven three-step process for converting insurance-driven prospects into cash-pay patients who are eager to book, buy, and commit to long-term care.
Why Patients Want to Use Their Insurance
Before diving into the process, it’s essential to understand why patients are so insistent on using their insurance. Here are the three primary reasons:
- High Monthly Premiums: People pay substantial amounts for health insurance, and it’s natural for them to want to utilize it when they seek healthcare.
- Belief in Cost Savings: Patients assume using insurance is cheaper than paying cash upfront.
- Normalization of Insurance: For many, using insurance is a habit, and they aren’t aware of the benefits of paying cash.
But while insurance may seem like the best option, it often falls short in delivering personalized, high-quality, and fast care. So, how do you help prospects realize that cash pay services are a better choice?
Step 1: Redirect Focus and Stay Consultative
When a prospect first asks, “Do you take insurance?” don’t immediately respond with a simple “no.” This can make the prospect feel defensive. Instead, use the opportunity to consult with them and get more information about their needs. For example:
“That’s a great question, Joe. All our patients have insurance. We can definitely discuss how that works for your care, but first, I really want to make sure we can help you. Could you tell me more about what’s going on so I can better understand your needs?”
By guiding the conversation toward understanding their condition first, you start positioning yourself as a trusted advisor rather than a salesperson. It also shows that you’re not just focused on the sale, but on delivering value and making sure you’re the right fit for their needs.
Step 2: Pre-Hab the Insurance Objection
Rather than waiting until the end of the call when the insurance question inevitably arises, tackle it early and proactively. After you’ve gained buy-in from the prospect about your treatment process, discuss the insurance aspect and communicate its limitations upfront. Here’s how you might phrase it:
“We’re technically out-of-network with insurance because insurance companies don’t allow us to offer the kind of personalized care that we know gets results. However, all our patients have insurance. We provide a super bill, which makes it easy for you to submit claims to your insurance provider. Most of our patients get reimbursed between 50-80% depending on their plan and deductible status.”
By providing this information before the patient can bring up concerns, you minimize the resistance at the end of the call and clarify that their insurance can still be utilized without affecting the quality of care.
Step 3: Check Their Boxes
Every prospect has certain “boxes” they need to check off when choosing a healthcare provider. These typically include:
- Cost: They want affordable care.
- Personalized Care: They want a treatment plan tailored specifically to their needs.
- Long-Term Results: They want to know that their investment will lead to lasting results.
It’s important to acknowledge that insurance may check one of these boxes but not all three. For example:
“I understand that insurance is important to you, and we can help with that. But based on what we’ve discussed, it seems that you also want personalized care that gets results fast, and insurance can’t always guarantee that. If we prioritize your long-term health, I believe the investment in cash pay will be much more beneficial for you.”
This reframing helps prospects see that while their insurance may be convenient, working with you directly will provide a much better experience that aligns with their health goals.
Conclusion
Overcoming insurance objections is a skill that can dramatically impact your ability to convert leads into paying clients. By implementing this three-step process, you’ll confidently handle these objections and guide prospects toward the best decision for their health and financial well-being.
At the end of the day, cash pay services allow you to provide the best care possible, with personalized treatment plans, quicker results, and long-term health benefits. With the right approach, patients will see the value in investing in your services, even if they have top-tier insurance.
Watch and Listen to the Full Video
For a deeper dive into a cash physical therapists’ journeys, make sure to listen to the full video. Click here to listen to the video: Turn Insurance Objections Into Cash-Paying Patients (3 Step Formula): Cash Based PT
About Author:
Although the company eventually failed, it provided Jordan with invaluable learning experiences. He became passionate about designing world-class patient experiences and building efficient marketing & sales funnels for cash physical therapists. Utilizing this expertise, Jordan became the CMO of a well-known physical therapy media company, and consulted for and built marketing funnels for some of the top physical therapy business coaches.
Eventually growing tired of the typical agency and consulting grind, Jordan, alongside Max Zirbel, founded Clinical Marketer. They infused it with the hands-on support and mentorship that they benefited from in their initial venture. The company was a success from the start, aiding clinics in scaling to 6 and 7 figures in revenue. During its first launch, Jordan and his team met Dr. Ben Bagge, whom they later partnered with after helping him grow his business from $200K/year to over $1M/year in three years.
