Consolidation, payer reform, and staffing issues are three key trends dental leaders should keep an eye on.
Consolidation: Rapid consolidation within the dental industry is generated in part by high student debt and rising costs. These two trends make opening an independent practice a challenge, which makes partnering with a DSO an attractive option for some dentists. The effects of this trend can be seen in the 11.7 percent drop in practice ownership from 2005 to 2021.
Payer reform: From increasing reimbursement rates to establishing a medical loss ratio for dental insurers, several states are fighting for dental payer reform. In Michigan, CMS approved a raise in the reimbursement rates for dental procedures performed in outpatient hospitals and ASCs. In December, Massachusetts established a medical loss ratio for dental insurers.
Staffing issues: According to a January poll from the American Dental Association's Health Policy Institute, 66.3 percent of dentists cite staffing as the top challenge they anticipate facing within the next six months. Dental hygienists in particular have been a challenge to recruit. According to the American Dental Association's "Dental Workforce Shortages" report, 42.9 percent of hygienists voluntarily left the field because of the culture.