Teeth are a valuable possession, but many people develop problems like cavities or gum disease that threaten their dental health. A dentist can treat these problems, but it may be too expensive for the average person to easily afford. Some procedures may cost hundreds or thousands of dollars. Dental plans and dental insurance can both help reduce the out-of-pocket expenses, although they do it in different ways.
Description
Dental plans and dental insurance both bring down the cost of dental treatment and preventative care for participants. Dental insurance is usually provided by an employer who pays most or all of the premium costs, meaning employees only have to pay deductibles and whatever percentage of the bill is not covered under the policy terms. Consumers usually join dental plans on their own and pay the entire cost. Then they pay directly for their dental care, but get a discounted rate negotiated by the plan provider.
Differences
Dental insurance usually will not coverage pre-existing conditions without a waiting period, if at all, according to DentalInsuranceHelper.com. There are usually no exclusions on a dental plan. You will get the same discount to fix previous cavities and other conditions as you will for check-ups and work to fix new problems. Dental plans often cover cosmetic procedures like teeth whitening or veneers, while most dental insurance policies exclude them.
Cost
The upfront cost of a dental plan is often much less than the cost for a dental insurance policy. DentalInsuranceHelper.com estimates that plans might cost as little as $100 annually, while insurance starts around $35 a month for individual coverage. Most policies also require the insured person to pay a deductible, which is an amount that must be paid by the person before benefits start. Insurance coverage may vary based on the services performed. For example, yearly exams and cleanings might be fully covered, while more extensive work might only be covered at 50 to 80 percent.
Limitations
Both dental plans and dental insurance have limitations. Dental plan discounts can only be used at participating dental offices, which may have higher costs than other clinics, making the discounts less useful. Dental insurance may also have limits on where it can be used. Some policies let you get your work done anywhere with the same coverage, but others limit you to participating providers or pay less if you don't use a participating dentist. Dental plans can generally be used as much as you want, but most dental insurance policies have yearly limits. The insurance company will not pay for any more work until the next year begins if you use up your annual benefits.
Warning
The Coalition Against Insurance Fraud warns that consumers with dental insurance or a dental plan can be victimized in various ways. It explains that some dentists will inflate billings for patients who have insurance. This costs the insurance company more money and can use up the patient's annual benefits, leaving her temporarily without coverage if she needs more work that year. Scammers will sometimes try to sell worthless dental plans by using a high pressure sales pitch and promising unrealistic benefits while refusing to provide written information, the coalition explains.
Alternatives
People who need dental care but do not belong to a plan or have insurance may be able to pay for their treatment by financing it. Most dentists accept major credit cards, and many also work with finance companies specializing in loans for dental procedures. This allows patients to pay the bill over several months or years, although the cost will be higher because they will also be paying interest.
