To paraphrase the fast food commercials, “Where’s The Beef?” In other words, what has happened to all the premium money collected by the insurance companies?
We know that the cost of dental insurance, the premium, has gone up over fifteen times since 1970, but the annual maximum benefit has not gone up from the $1000 a year it was in 1970. Moreover, people are astounded to learn that the annual maximum of $1000 has not gone up for most insurance companies in over twenty-six years. So, where has the money gone?
A study by Dr. James Bramsow and Marge Feldman revealed some rather interesting information. Dental insurance plans pay out, in benefits, from as little as 59% of the total premiums collected. And, they have profits, sales and administrative expenses as high as 41%.
The next time your dental insurance doesn’t want to cover a procedure, ask them what they have been doing with all your premium dollars for the last 26 years.
Had Claims Denied?
The CEO of Traveler’s Insurance, Mr. Sanford I Well, was paid the following in 1997:
- Salary – $1,025,000
- Bonus – $6,168,034
- Other – $260,269
- Stock – $3,109,288
- Options – $12,044,127
- Miscellaneous – $1,404
- Total – $22,608,122
Our Feelings on “Mangled Care”
We are occasionally asked why we don’t participate in a particular insurance plan, or if we would begin to participate in a plan that is cheaper for the patient to purchase.
As you are probably aware, the health care field is undergoing a period of change in the manner in which care is provided to the public. There are many insurance plans that are being promoted that restrict your choice of doctor to those on a specific list of participating offices.
The participation agreement between those plans and the providers usually requires the provider to deliver care at a discount to those patients covered by that plan. For some plans the discount is small, for some it is not.
Our orientation has always been to provide quality care. We use those supplies and materials we consider to be the best available. We use only excellent laboratories and support services.
We have an excellent staff of qualified professionals with many years of training and experience, and we take the time necessary to provide for quality treatment. We always look for value but we don’t compromise quality.
Our practice has grown and continues to grow through referrals from our patients. These referrals are indicative of the high level of care and service we strive to provide. Compare that with a referral from an insurance company. Upon what do you think their referral would be based?
We do not participate in any plan that would encourage a more ‘retail’ philosophy of practice. Dentistry is a service, not a product. For those plans where a filling is a filling and a crown is a crown, it’s always possible to find a cheaper way. For us, the manner in which that service is provided and the attention to details makes all the difference.
We do not participate in plans that require us to discount our treatment and encourage us to make up the difference in volume. Nor will we make a practice of charging patients different fees for identical services depending on which insurance plan, if any, they belong to.
There is enough diversity in today’s dental marketplace for everyone to find a practice whose values they share. I hope this adequately describes our values.
Sincerely yours,
Dr. Bill Williams and the staff of Suwanee Dental Care
Suwanee Dental Care voted Best of Gwinnett eight years in a row!