Pros & Cons of Individual Dental Plans

A number of companies sell individual dental plans. A dental plan essentially buys a member the right to discounted dental services. It's not the same as traditional dental insurance. Individuals in a dental plan agree to pay a monthly fee to a company in exchange for dental services provided by dentists in the company's network. The services generally include discounted routine care, such as an exam, cleanings and X-rays. In some cases, the patient receives other services at a reduced rate. Individual dental plans have advantages and disadvantages.

Affordable

• One advantage of a dental plan is its low cost. The monthly membership fee for a dental plan is frequently less than the cost of dental insurance. Furthermore, most individual dental plans charge a monthly premium for services or provide a discount for members paying an annual premium. For those paying a monthly premium, the advantage is that the amount is the same for each month of the coverage period, which allows for ease of budgeting.

Immediate Benefits

• Unlike traditional dental insurance plans, which often impose a waiting period before benefits begin, members participating in dental plans receive discounts immediately upon joining. An individual needing major dental work does not have to wait six to 18 months--the common wait time of dental insurance plans--to get discounted care with a dental plan.

Unpredictable Out-of-Pocket Expenses

• One main disadvantage of dental plans is the inability to predict out-of-pocket expenses. In general, individual dental plans provide basic, routine dental coverage at a discounted rate. This means that members usually pay a modest fee even for cleanings and X-rays. Although some plans may offer a small discount for more major dental work, like crowns and dentures, the majority of that cost is likely to come from your own pocket. Any additional costs paid for dental work is in addition to the dental plan membership premium.

Limited Choice of Dentists

• Members of a dental plan do not have complete freedom in choosing a dentist, and instead must select one from the company's network of approved dentists. The quality of the dentistry depends on the dentist performing the procedure. While all dentists went to dental school, not all dentists perform quality dental work. Limited dentist choice is therefore a drawback to joining a dental plan.