What is a discount dental plan?
Discount dental plans are plans designed for individuals, families, and groups who are looking to get a deal and save money on their dental care needs. The dentists and dental care providers who are participating in these plans have agreed to accept a lower fee than they would otherwise charge from their members as payment in full for the services they perform. As a plan member you simply show your membership card when visiting a participating dentist to receive the discounted fees.
What is the difference between discount dental plans and insurance plans?
To be eligible for a dental insurance plan, you have to actually apply, be eligible and be approved for the insurance. Potential members with ongoing health problems may be denied insurance, or have such high premiums that the dental insurance is not worth the trouble. Moreover, dental insurance plans have annual limits as well as deductibles that may limit the benefits you can derive one from the insurance plan. Another advantage of a dental plan over dental insurance is that you are able to receive a discount for procedures that are not usually covered by dental insurance, such as teeth whitening.
How do discount dental plans for groups and businesses work?
Businesses can offer their employees many money-saving dental care options without offering insurance and the high overhead costs it entails. In this way employees can choose their plans that fit their individual needs and have no annual limits. Also since it is a plan and not an insurance there are no health restrictions and no paperwork hassles that come with insurances. Needless to say these type of plans provide employers with a cheaper alternative to group dental insurance with all the hassles that brings with it. Dental care plans are available to groups of all sizes, including retirees, part-time workers and employees uninsured defendants compared to insurance. Moreover both the employer and the employees can save substantial amounts of money by reducing payroll taxes since many dental care plans qualify under section 125 cafeteria plans of the Tax Code.
Why would dentists accept to participate in discount dental plans?
Dentists can reach more patients, retain them, and also reactivate them by using a discount dental plan. Their dental practice can offer a viable solution to those patients who are under-insured or those who have no dental insurance at all. Dentists can reach more patients by bringing in the new patients by inviting them to take advantage of the potential savings that are offered by such plans. Dentists can also retain their patients by offering a solution to them that would otherwise be unaffordable without a discount on their services. Moreover dentists can motivate idle patients to sign up for new treatments or continue their treatment program by offering the significant savings through the plan. This would translate into increased revenue for the dentists because they receive payment directly from the patients rather than have to wait for the insurance company …