Sample Letter of Medical Necessity for Residential Treatment

If you are trying to get residential treatment for your child, you will need a letter of medical necessity from a treatment provider. This letter is to prove to the insurance company that your child needs this type of treatment. Below, we provide a letter template and an outline of what needs to be included.

If you are a parent, take a copy of this letter to your doctor or send it to their office since it will save them time and make the process go more quickly. There are many steps involved in getting residential treatment for a child who needs it, and this letter is an important part of the process.

Why You Need a Doctor Referral Letter for Residential Treatment

Because residential or inpatient treatment is a high level of care, it’s very expensive. Insurance companies quickly reject this type of treatment because of the cost involved. A letter from a pediatrician, psychiatrist, or other medical provider will be required to prove to your health insurance that they must pay for this type of care.

Sample Referral Letter for Residential Treatment

Here is a sample letter to write for a child or teen who needs mental health treatment. The purpose of this letter is to get insurance coverage. Keep in mind that this is a general outline. If the insurance company has a specific template or additional details they require, be sure to include those as well.

[Your Name] [Your Title] [Your Clinic/Hospital Name] [Your Address] [City, State ZIP Code] [Date]

[Insurance Company Name] [Claims Department] [Address] [City, State ZIP Code]

Re: Referral for Residential Mental Health Treatment for [Patient’s Full Name]

Dear Claims Department,

I am writing to request authorization for residential mental health treatment for my patient, [Patient’s Full Name], who is currently under my care. As a pediatrician, I have thoroughly evaluated [Patient’s Pronoun] condition and believe residential treatment is necessary for [Patient’s Pronoun] well-being and recovery.

Patient Information

• Patient’s Full Name: [Patient’s Full Name]
• Date of Birth: [Patient’s Date of Birth]
• Diagnosis: [Specify the mental health diagnosis, e.g., depression, anxiety, etc.] Include the ICD code.
• Clinical History: [Briefly describe the relevant clinical history, including any previous treatments or hospitalizations.]

Rationale for Residential Treatment

In this section, explain why residential treatment is necessary for this patient. Highlight specific factors such as safety concerns, severity of symptoms, lack of progress in outpatient settings, or the need for intensive therapeutic interventions.

Treatment Goals

1. Stabilization: Ensure that [Patient’s Pronoun] mental health is stabilized and that [Patient’s Pronoun] immediate safety is addressed.
2. Intensive Therapy: Provide [Patient’s Pronoun] with intensive individual and group therapy sessions to address underlying issues.
3. Safety and Supervision: State if [Patient’s Pronoun]needs care to prevent harm to themselves or others.
4. Medication Management: Monitor and adjust medications to optimize [Patient’s Pronoun] treatment.
5. Family Involvement: Engage [Patient’s Pronoun] family in the treatment process to support [Patient’s Pronoun] recovery.

Treatment Facility

I recommend that [Patient’s Full Name] be admitted to [Name of Residential Treatment Facility]. This facility specializes in [specific treatment modalities, e.g., cognitive-behavioral therapy, dialectical behavior therapy, etc.] and has a proven track record of success.

Contact Information

• Facility Name: [Name of Residential Treatment Facility]
• Facility Address: [Facility Address]
• Phone Number: [Facility Phone Number]

Conclusion

Please review this referral promptly and authorize the necessary residential treatment for [Patient’s Full Name]. If you require any additional information or documentation, please do not hesitate to contact me.

Thank you for your attention to this matter.

Sincerely,

[Your Signature] [Your Typed Name] [Your Title] [Your Contact Information]

Outline for Referral Letter

Here is an outline of the details that should be included in this type of letter of support.

1. Introduction
   • Introduce yourself and include your name, title, and clinic/hospital
   • State the letter’s purpose, in this case, that you are requesting authorization for residential mental health treatment
2. Patient Information
   • Provide the patient’s full name, date of birth
   • List all relevant mental health diagnoses
   • Include any other relevant clinical history
3. Rationale for Residential Treatment
   • Explain why residential treatment is necessary for this patient
   • Highlight safety concerns, severity of symptoms,
   • Include other treatment and lack of progress in outpatient settings
   • Include if the patient is a danger to himself or others
   • Explain why this treatment cannot be obtained with a lower level of care, the home, or a community setting
4. Treatment Goals
   • List specific treatment goals for the patient during residential treatment
5. Treatment Facility
   • Recommend a specific residential treatment facility
   • Include contact information for the facility
   • Explain why this facility is equipped to meet this child’s needs
6. Conclusion
   • Request prompt review and authorization
   • Offer willingness to provide additional information if needed

How to Appeal if Insurance is Denied

While it’s very frustrating, don’t be surprised if treatment is denied. Denials are common with care that requires a high cost.

Your next steps if treatment is denied:

• Follow the insurance company’s appeal process, as outlined in a letter you will receive.
• Request a peer-to-peer review, in which your doctor will speak to a doctor at the insurance company and explain why this type of treatment is medically necessary.
• Parents may consider hiring an advocate or attorney who has experience with health insurance law.
• Don’t give up. As frustrating as a denial may be, it might be overturned as you follow the appeal process.

Hopefully, this gives you the information you need to take the next steps in helping your child get the care they need.

Click here for a free PDF printable checklist of the 7 steps to take when your child needs residential treatment.

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