The COVID-19 pandemic transformed the way we viewed and approached mental health. The isolation, economic strain, and health fears brought about by the pandemic exacerbated mental health challenges for millions, prompting many to seek professional care. However, as the world slowly returns to some semblance of normalcy, one thing is clear: mental health challenges and the demand for care are not dissipating. New research is shedding light on this evolving trend, revealing that mental health insurance claims have surged dramatically in recent years, with the numbers continuing to climb even after the peak of the COVID-19 crisis.
According to a report from LexisNexis Risk Solutions, mental health claims skyrocketed by 83% from 2019 to 2023. These increases in mental health insurance claims have persisted well beyond the height of the pandemic, rising by an additional 11% from 2022 to 2023. This growing demand highlights an important shift in society’s approach to mental health—people are seeking care in record numbers, and the stigma surrounding mental health treatment continues to erode. As a result, post-pandemic mental health care has become a critical part of the healthcare conversation.
But it’s not just the number of claims that’s noteworthy. The nature of care has evolved as well, particularly with the adoption of telehealth services. The pandemic forced healthcare systems to innovate rapidly, and virtual mental health services became a lifeline for individuals seeking care. While virtual mental health services saw explosive growth during the pandemic, they have not plateaued as expected. Instead, these services continue to draw significant demand, though at a slower pace. This indicates that post-pandemic mental health care will likely maintain a strong virtual presence.
The Virtual Health Boom: Telehealth’s Impact
The surge in virtual mental health services has been nothing short of remarkable. During the pandemic, virtual mental health claims increased by a staggering 9,500%—an unprecedented spike driven by lockdowns, social distancing, and the need for remote care options. Though this growth has slowed in recent years, virtual claims still saw a 3% increase from 2022 to 2023, showing that post-pandemic mental health care is still highly reliant on telehealth services.
Despite the rapid adoption of virtual services, not all populations are embracing the shift equally. Notably, the number of virtual mental health claims among children has dropped by 14%. This suggests that younger patients, particularly those under 18, are increasingly returning to in-person visits. As Adam Mariano, president and general manager of healthcare at LexisNexis Risk Solutions, explains, “Mental health claims continue to rise, indicating a growing demand and utilization of mental health care, despite ongoing provider and medication shortages.”
The shifting preferences among younger populations point to a need for healthcare organizations to balance their resources between virtual and in-person care. The demand for face-to-face visits, particularly for children and teens, underscores the importance of offering both care delivery models and ensuring that the younger generation has access to in-person mental health services when needed in the post-pandemic mental health care landscape.
Telehealth: A Double-Edged Sword?
While telehealth has proven to be a highly effective tool in mental health care, questions loom about its future. The temporary flexibilities introduced during the COVID-19 pandemic, which allowed mental health providers to offer telehealth services without significant regulatory hurdles, are set to expire by the end of 2024 unless Congress takes action. These measures, which allowed for broader access to telehealth care, have been instrumental in expanding access to care, particularly for individuals in rural or underserved areas. If these measures are not extended, there is a real risk that many individuals may lose access to the convenience and affordability of virtual care in post-pandemic mental health care.
While in-person visits have proven to be beneficial for many patients, telehealth offers distinct advantages, particularly for those who face geographical, financial, or mobility barriers. Research consistently shows that telehealth mental health visits are just as effective as in-person visits, making it an essential avenue of care, especially for individuals in underserved areas or those with hectic schedules. As post-pandemic mental health care continues to evolve, maintaining virtual care options will remain a crucial component of a comprehensive mental health care system.
In-Person Care: The Comeback
On the other hand, in-person care is experiencing a resurgence. Mental health claims for in-office visits, which plummeted by 46% from 2019 to 2020, have rebounded significantly in the last few years. From 2021 to 2023, in-person claims increased by 59%, and the gap between pre-pandemic in-office claims and current numbers has narrowed to just 10%.
While telehealth is here to stay, the data clearly demonstrates that many patients still prefer or need face-to-face interactions with their providers. In-person care offers patients a sense of connection and reassurance that virtual visits, for all their benefits, may not be able to replicate. Additionally, some mental health conditions may require more intensive in-person interventions, making it essential for healthcare systems to accommodate both types of care as part of a post-pandemic mental health care model.
Rising Conditions and Demands
While mental health claims are increasing across the board, certain conditions have seen more dramatic rises than others. The report reveals that stress-related claims surged by an 86% from 2019 to 2023, highlighting the significant toll that the pandemic, economic uncertainty, and global events have taken on people’s mental well-being. Developmental disorder claims also increased by 75%, reflecting growing awareness and diagnosis of conditions like autism spectrum disorders and other neurodevelopmental issues.
Perhaps unsurprisingly, anxiety-related claims increased by 72%, and depression-related claims climbed by 52%, underscoring the mental health toll of the pandemic, with many people experiencing ongoing emotional and psychological struggles in the aftermath. These increases in mental health issues demonstrate that post-pandemic mental health care must be more than just a temporary response—it needs to be an ongoing priority for health systems.
One of the more eye-catching trends has been the rise in ADHD-related claims. There has been a 101% increase in claims for ADHD among adults aged 18 to 44 over the past five years. This sharp rise may suggest a greater awareness of ADHD and its impact on adulthood, as well as improved diagnostic practices. ADHD, often seen as a childhood disorder, has been increasingly recognized in adults, particularly as many individuals who were undiagnosed as children begin to seek help as adults.
A Surge in Claims Among Minors
Of particular concern is the surge in mental health claims among minors, with certain conditions seeing alarming increases. For example, claims related to gender identity issues in minors have spiked by 152% since 2019, and claims for eating disorders in the same age group have climbed by 131%. These figures reflect not only the growing recognition of these issues but also a greater willingness among young people to seek support for their mental health.
Other conditions have also seen significant increases among minors. Claims for phobic disorders have grown by 98%, while anxiety disorders and developmental disorders among children have increased by 82% and 77%, respectively. These troubling statistics suggest that mental health challenges are becoming increasingly prevalent among young people, and the demand for specialized care for minors is intensifying in post-pandemic mental health care.
The Future of Mental Health Care
As mental health insurance claims continue to rise, the future of mental health care will need to adapt to meet these growing demands. Healthcare systems must be prepared to offer both virtual and in-person care to accommodate the diverse needs of the population, from children and teens to adults. With the increasing recognition of mental health issues across age groups, especially among minors, there is an urgent need for tailored, age-appropriate care that can be accessed in a timely manner.
At the same time, the looming expiration of telehealth flexibilities presents a potential challenge for maintaining access to virtual mental health services. The federal government must take action to ensure that telehealth remains a viable option for those who need it most.
Ultimately, the rise in mental health claims post-pandemic is a reflection of both the growing awareness of mental health issues and the deepening need for accessible care. Whether through in-person visits or virtual consultations, one thing is clear: post-pandemic mental health care must be prioritized to ensure that individuals of all ages have the support they need to thrive. The next few years will be crucial in shaping the future of mental health care in this country, and continued investment in both service delivery models and mental health resources will be key to addressing this ongoing crisis.
