Medicaid does pay for psychotherapy, but it can be difficult finding a therapist that accepts Medicaid...you can usually find one in a community or county mental health center. Medicare also pays for psychotherapy, either in the home or in an outside office, and does not require a physician referral. My agency, In-Home Counseling for Seniors
, provides such services. Agencies such as Catholic Charities and Salvation Army also provide limited psychotherapy services, and can accept both Medicaid or Medicare. Psychotherapy can provide a very real benefit, as depression, anxiety, and issues related to chronic disabling illnesses can be very stressful and negatively impact a person's functioning.