Question:
Benefits of Dental Insurance ?
Answer:
Dental plan coverage for individuals is not commonly offered because
dental needs are highly predictable. For example, you would not pay
premiums for your dental coverage if the premiums were more expensive
than the cost of the dental treatment you need. Since this is the case,
insurance companies would stand to lose money (spend more on benefits
than they receive in premiums) on every individual dental plan they
write.
There are, however, a few companies that offer a form of dental
benefits for individuals. Most of these plans are "referral plans" or
"buyers' clubs." Under these types of plans, an individual pays a
monthly fee to a third party in return for access to a list of dentists
who have agreed to a reduced fee schedule. Payment for treatment is
made from the patient directly to the dentist. The third party acts
only in the capacity of matching the individual to the dentist. The
dentist receives no payment from the third party other than in the form
of referral of patients.
What are some questions and concerns about dental benefits?
Your plan sponsor (often your employer) should be able to explain the
individual design features of your plan. Design features to understand
include: exclusions, limitations, patient copayments and annual or
lifetime benefit maximums.
The American Dental Association has received numerous questions and
complaints from patients regarding their dental benefits. To correct
some of this confusion about dental coverage, the following questions
and answers are provided by the American Dental Association to help you
better understand your dental benefits. If you have additional concerns
or questions, they should be directed to your group benefits
department. Your personal dentist may also be able to explain dental
benefit issues and options for you...
Find out more:
http://newsdental.blogspot.com/2007/01/benefits-of-dental-insurance.html
This looks and tastes like spam. However, unlike spam, the information
looks fair and accurate. I would only add that anyone purchasing such a
plan should ask why a dentist would participate in a plan at a given fee
level. It may be that it is a young hungry dentist with a chair to
fill. I have heard reports of patients on these plans being steered to
services for which the fees are not contracturally set.
The usual caveats: to be careful to whom you entrust your dental care.
I think this is the first time I've seen a plan such as this honestly
marketed as a "referral plan", which is close to what it is.
Dental insurance or pre-paid benefits, however you want to call it, is
penny wise and pound foolish. Period, End of story.
If you value your dental health, stay away from it.
Just my 2 cents, having seen the negative effects of dental
"insurance" in my own life.
