Dental Plans vs Insurance

Using terms that define different types of health insurance, dental insurance functions like a PPO while a dental plan has the characteristics of a an HMO.  Dental insurance gives the insured party choices with regard to dentists and treatments.  Dental plan participants are generally limited to dentists and suppliers who are part of the dental plan program.  Often these dental professionals are employees of the dental plan.

Dental plans are sold on the basis of simplicity and cost.   They are sold on an annual fee basis, and services are provided without a deductible.  The services provided through a dental plan are also often characterized as “discount” services.  The insured party merely presents a membership card and doesn’t get involved with any of the insurance transactions.

Dental insurance is usually marketed based on a monthly cost, with a mix of deductibles for various services along with a cap on deductible expenditures.  A well known dental insurance company will usually be acceptable to all of the dentists in your area.  Dental insurance is more expensive than a dental plan, but may provide more coverage for expensive procedures such as gum surgery.  And while dental plans tout the advantage of no paperwork, most dental offices will handle insurance billing procedures for a patient who has standard dental insurance.