Dental indemnity insurance is also referred to as traditional dental insurance due to its basic concepts/policies pursuant to receiving and paying for dental services. The word indemnity is defined in numerous ways including protection, security, exemption and exception.
A dental indemnity plan allows its members the freedom to choose whichever dental providers they prefer. Members must pay for all dental services received up front then submit claims to their dental indemnity plan providers. Dental indemnity insurance companies then reimburse members a portion of all submitted applicable expenses.
When comparing DPPOs and DHMOs it is apparent how the amount of money paid by members is used to create dental insurance policies. DHMOs cost members less money but offer less flexibility.
DPPOs offer more flexibility but have higher average costs to members. Members of dental indemnity insurance plans are granted total provider choice flexibility but might have higher out-of-pocket costs in exchange for such freedom.
Dental indemnity plans frequently have deductibles. Some dentists submit reimbursement claims to your insurer and others do not, meaning there might be extra steps you need to take to receive your reimbursements. There are coverage limits regarding types of services and expenses allowed as well. These limits are typically referred to as Usual, Customary, and Reasonable (UCR) expenses. Dental indemnity insurance also frequently reimburses an average of eighty percent of all services and expenses submitted once deductibles are satisfied.
There are other obvious benefits to owning a dental indemnity plan. The simplicity of the plan is popular with many consumers who prefer to spend less time thinking about insurance terms with policy limitations and more time on other areas of their daily lives.
Another highly popular aspect of dental indemnity insurance plans is the permission granted to choose any dental provider you prefer. Because there are no provider selection limitations, receiving dental services while traveling in the U.S. is not a problem. Choosing a different dentist to compare your options is also not a problem. Referrals from a primary dental provider are also not required for dental indemnity plans.