What is a Stand Alone Dental Plan?
Dental insurance is insurance designed to pay a portion of the costs associated with dental care. In general, a dental insurance plan covers a percentage of the dental charges incurred at a dental office. They have a wide range of coverage options which may include free preventitive services such as cleanings. There is no industry standard annual maximum limitation, deductable, or co-pay. Such coverages and benefit limitations are determined by each insurance company as filed with the department of insurance.
What Types of Dental Plans are There?
A Dental Health Maintenance Organization (DHMO) is a common example of a capitation plan. The individual and family dentist is paid on a per capita (per person) basis rather than for actual treatment provided.
Indemnity – Individual Dental Insurance
This is the plan where you choose your own individual or family dentist. The dental insurance plan pays the dental office on a traditional fee-for-service basis. A monthly premium is paid by the client and/or the employer to an insurance company, which then reimburses them for the services rendered.
Preferred Provider Organizations
Another true dental insurance plan, a Preferred provider organizations ( PPO) falls somewhere between an indemnity plan and a dental HMO. This plan allows a particular group of patients to receive dental care from a defined panel of individual dental insurance dentists. This type could be used to provide dental gap insurance.