Therapist Insurance Credentialing: How to Get In-Network
If you’re a therapist thinking about accepting insurance, you’re definitely not alone. And if the idea of insurance credentialing feels confusing, frustrating, or even a little intimidating, you’re not imagining that either.
Most therapists aren’t taught how to work with insurance in grad school. So when it’s time to get credentialed, you’re often left Googling, guessing, and hoping you’re doing it right.
The good news? Therapist insurance credentialing is very doable once you understand what insurance companies actually need and how the process works. This guide breaks it down in a clear, supportive way so you can move forward with confidence.
What Is Insurance Credentialing for Therapists?
Insurance credentialing is the process insurance companies use to verify that you’re licensed, qualified, and eligible to treat their members.
Once you’re credentialed and contracted, you become an in-network provider, which allows you to bill that insurance company and get paid for your services.
It’s important to know: credentialing isn’t about judging you as a clinician. It’s simply a verification and compliance process. The goal is to confirm your education, license, and business information so payers can safely reimburse you.
What Insurance Companies Require to Credential Therapists
Each payer has its own system, but most insurance companies ask for the same core information when credentialing therapists.
Here’s what you’ll need to have ready:
1. An Active, Unrestricted License
You must hold a current license in the state where you practice (LPC, LMHC, LMFT, LCSW, Psychologist, etc.).
Insurance companies verify your license directly with the state, so it needs to be active and in good standing before you apply.
2. A National Provider Identifier (NPI)
Every therapist working with insurance needs an NPI number.
Individual clinicians use a Type 1 NPI
Group practices and businesses (LLC, PLLC, S-Corp, etc.) also need a Type 2 NPI
This is how insurance companies identify you in their systems.
3. A Completed CAQH Profile
Most major insurance companies use CAQH ProView to collect provider information.
Your CAQH profile must be:
Complete
Accurate
Re-attested every 120 days (even if nothing changes)
Missing or outdated CAQH data is one of the most common reasons credentialing gets delayed.
4. Malpractice Insurance
You’ll need active professional liability insurance that meets payer requirements.
Most plans require at least $1 million / $3 million coverage. Your policy must be current during the entire credentialing review.
5. Practice and Contact Information
Consistency matters more than most therapists realize.
Your legal business name comes from your IRS letter (CP 575), and that same name should appear across:
Credentialing applications
CAQH
Bank accounts
Tax records
Your address, phone number, and tax ID also need to match everywhere. Small mismatches can create big delays.
6. Background Checks
Insurance companies run routine checks through state and federal databases to make sure there are no exclusions or sanctions.
Some plans, especially Medicaid, also require fingerprinting as part of the process.
7. A Business Bank Account
Once you’re credentialed, insurance companies pay you through EFT (direct deposit).
Your bank account should be in the legal business name, not just a personal account, so payments don’t get rejected or stuck.
How Long Does Therapist Credentialing Take?
For most therapists, insurance credentialing takes about 60–120 days per insurance company, sometimes longer.
A lot happens behind the scenes: verifications, reviews, committee approvals, and contracting. Even when everything is done correctly, delays are common.
That’s why starting early and staying organized makes a big difference.
How TherAssist Supports Therapist Insurance Credentialing
If credentialing feels heavy, overwhelming, or frustrating, there’s nothing wrong with you.
You became a therapist to help people, not to manage databases, contracts, and payer portals. The process is detailed, administrative, and time-consuming, especially when you’re already holding space for clients every day.
It’s okay to want support with it.
At TherAssist, we help therapists navigate insurance credentialing with clarity, care, and follow-through. Whether you’re starting a private practice or expanding into new insurance panels, our team supports you with:
CAQH setup and ongoing maintenance
Application tracking and payer follow-ups
Clear communication without jargon or pressure
Our goal is simple: reduce administrative stress so you can focus on your clients and your clinical work.
If you’d like support - or even just want to understand your options - you’re always welcome to reach out. We meet you where you are and move at a pace that feels right for you.
