Dental Insurance or a Dental Savings Plan?

Narration provided by Wondervox.

I’m officially on Medicare now, as of October 1. In addition to the basic one-size-fits-all of Medicare parts A and B, I wanted supplemental insurance, vision coverage, and some kind of dental plan. I am a firm opponent of ‘Medicare Advantage’ plans, which are not Medicare. They are the privatization of Medicare, an insidious corporate takeover of the most successful social safety net program this country has ever enacted, along with Social Security. So … I have a Humana supplemental policy, an annual EyeMed discount plan that I already had, and now an Aetna dental save plan.

The dental plan was the one my husband and I most hesitated over. There are quite a few that offer the same basic benefit: significant discounts for the fees charged by participating dentists. It can be as much as 50 percent lower than the charge for the service. Until now, we’d had MetLife dental insurance, with a monthly premium for both of us at around $60 a month. It’s insurance, which means we had a $150 deductible for the year, with a $2000 cap from MetLife once the deductible was met. So, having estimated our needs in a given year, it made sense to go with a dental savings plan that cost (approximately) $199 annually for a couple. It’s a gamble: if I need a crown replaced or something major, it’s going to cost a lot more, but I’m not paying $720 (plus deductible) a year for it, either.

More on the differences between insurance and savings plans

Dental insurance and dental savings plans are two different ways to cover the cost of dental care. Dental insurance usually requires a monthly premium to be paid in order to receive coverage. This coverage typically includes preventive care, such as cleanings and check-ups, as well as some basic procedures like fillings and extractions. However, dental insurance will not always cover more expensive treatments like braces or implants. Additionally, there may be limits on the amount that can be claimed per year or a deductible that must be met before coverage kicks in.

Dental savings plans do not require any premiums; instead, members pay an annual fee for access to discounted rates from participating dentists. These discounts can range from 10% to 60%, depending on the plan and procedure being performed. Additionally, unlike dental insurance, there are typically no deductibles or yearly maximums with a dental savings plan and they can often cover treatments that traditional insurance doesn’t cover such as orthodontics or cosmetic dentistry.

Another key difference between dental insurance and dental savings plans is that with a savings plan you usually get access to discounted rates immediately while with an insurance plan you may have to wait several months before your benefits kick in. Additionally, it is important to note that not all dentists accept both types of payment; so if you have a particular dentist in mind it is important to check what type of payment they accept before signing up for either type of coverage.

When you’re deciding which option is best for you/your family, it’s important to consider both the short-term and long-term costs associated with each option. Dental insurance tends to be more expensive upfront due to its monthly premiums but may offer more comprehensive coverage in the long run since it covers some procedures that are excluded from most dental savings plans. Conversely, while a savings plan does not require any premiums upfront it may become more expensive over time than an insurance plan if you need extensive treatments down the line due to its limited coverage options.

We report, you decide: literally. I wasn’t thrilled at having a six-month waiting period for more expensive treatments (aside from cleaning), and I calculated that taking care of my teeth and going to the dentist once or twice a year made the savings plan optimal. And it became effective immediately. Most dental savings plans are activated as soon as you pay for them. – Mark