Virtual mental health provider Headspace is launching direct-to-consumer therapy. This is a first for the provider, which has traditionally offered its therapy programs through the employer market.

Direct-to-consumer clients will be able to use their insurance coverage for therapy. This isn’t the company’s first foray into the D2C space; the provider offers a consumer subscription to its mediation app and digital support services. However, Headspace’s one-on-one video sessions with a licensed therapist will now be open to all.

“We know that half of the people in our consumer base are already in therapy, and we think there’s this unique opportunity where we can make a more integrated experience for those who are already in our ecosystem, as well as people who have not been to Headspace yet to get therapy at what is a very affordable cost,” Dr. Jenna Glover, chief clinical officer at Headspace, told Behavioral Health Business. “What we’re going to be able to do is offer our exceptional therapy services, our evidence-based care with our expert therapist, but we’re going to be able to do so at a very affordable cost because for the majority of our members, we’re going to be able to have them utilize their insurance, and so the cost will be much more affordable than it is for most people.”

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Headspace said that most members will pay between $0 and $50 per session through health plan coverage. The therapy service does not operate on a subscription model, and members can sign up for sessions on a one-time basis. When a member signs up for a therapy session, they get access for three months to the entire Headspace ecosystem of content.

While many providers are turning away from the direct-to-consumer model, Headspace sees an opportunity in this space.

“We just see this as opening up to a broader market of people and expanding what we have already been doing for quite a long period of time,” Glover said. “And again, I think one of the things that’s so important is a lot of people have insurance-back care, but they don’t necessarily have a choice in terms of where they go for that care. And what we’re doing is offering a greater level of choice for mental health care.”

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Headspace has a history of working with payers through its employer programming. These relationships helped enable Headspace to expand those partnerships to include direct-to-consumer members now.

“We’ve been working on the employer side for many years, and typically, the way it works on the employer side is that the employer will pay us directly for a certain number of therapy sessions, but what if you hit a limit, then it goes over to insurance,” Tom Pickett, CEO of Headspace, told BHB. “And so every time we unlocked an employer partnership, we also often end up working with the payer side, and making sure that we would be in network with those providers should somebody need additional care beyond that that was paid directly by the employer. So that gave us a big head start.”

Headspace was formed in 2021 when Ginger and Headspace completed a $3 billion merger. Ginger brought on-demand coaching, therapy and psychiatric services to the table. Meanwhile, Headspace offered its meditation and mindfulness offerings.

The company’s unified enterprise planform was initially rolled out to employers. Headspace has been gradually rolling out new services geared towards the D2C market. For example, in 2024, the company announced that its mental health coaching services is now open directly to consumers.