Where's The Beef in Your Dental Insurance

To paraphrase the fast food commercials - Where's The Beef?  In other words, what has happened to all the premium money collected by the insurance companies?   We know that premiums have gone up over fifteen times since 1970 for dental insurance,  but the annual maximum benefit has not gone up from the $1000 a year it was in 1970.  Most people are astounded to learn that the annual maximum benefit has not gone up in over twenty-six years.  So, where has the money gone?

A study by Dr. James Bramsow and Marge Feldman revealed some rather interesting information.  Dental insurance plans pay out in benefits as little as 59% of the total premiums collected, and have profits, sales and administrative expenses as high as 41%.

The next time your dental insurer doesn't want to cover a procedure, ask them what they have been doing with all your premium dollars for the last 26 years.

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