Dental Insurance and Discount Plan Options

There are many dental plan options available today to assist individuals, families and businesses with their out of pocket costs associated with dental care. Traditional plans such as HMO dental insurance plans, PPO dental insurance plans, and dental indemnity insurance plans are what most consumers and businesses are familiar with. A great cost effective alternative to these dental insurance plans is a discount dental plan.

We want to help familiarize you with the many choices available and how a discount dental plan compares to what you are familiar with. Here is a brief explanation of each of the types of dental insurance plans available.

Dental Managed Care Plans

Preferred Provider Organization
Preferred Provider Organization (PPO) programs are plans under which patients select a dentist from a network or list of providers who have agreed, by contract, to discount their fees. In PPOs that allow patients to receive treatment from a non-participating dentist, patients will be penalized with higher deductibles and co-payments. PPOs can be fully insured or self-insured. PPOs are usually less expensive than comparable indemnity plans and are regulated under the appropriate insurance statutes in the company's state of domicile and operation.

Dental Health Maintenance Organization/Capitation Plan
Dental Health Maintenance Organization (DHMO) or capitation plans pay contracted dentists a fixed amount (usually on a monthly basis) per enrolled family or individual, regardless of utilization. In return, the dentists agree to provide specific types of treatment to the patient at no charge (for other treatments, a co-payment is required). Theoretically, the DHMO rewards dentists who keep patients in good health, thereby keeping costs low. DHMO models typically offer the least expensive dental plans.

Dental Fee-for-Service Plans

Direct Reimbursement
Direct Reimbursement (DR) is a self-funded dental benefits plan that reimburses patients according to dollars spent on dental care, not type of treatment received. It allows the patient complete freedom to choose any dentist. Instead of paying monthly insurance premiums, even for employees who don't use the dentist, employers pay a percentage of actual treatments received. Moreover, employers are removed from the potential responsibility of influencing treatment decisions due to plan selection or sponsorship.

Discount Dental Plans

A discount dental plan is a great alternative to dental insurance. A discount dental plan is designed to make taking care of your oral health simple, accessible and affordable. Unlike dental insurance Discount Dental plans do not require claim forms, do not have limitations on treating pre-existing conditions, have no waiting periods, do not require referrals to visit a specialist, and do not have annual maximums. Members simply visit one of thousands of participating providers and present their membership card to save on their dental treatments.
Because there is no plan maximum with a discount dental plan, you can take care of your oral health all year long while continuing to save. Discount dental plans offer savings on most preventative and restorative dental treatments, such as cleanings, x-ray's, fillings, root canals, crowns, bridges, dentures and much more. Some plans also offer discounts on orthodontic and cosmetic work as well. Members of discount dental plans pay up to 60% less for these treatments.