Guardian recently informed about 1,500 small businesses in Massachusetts that it will not sell policies to companies with fewer than 25 employees once the state's medical loss ratio is implemented in January.
Massachusetts established a first-of-its-kind law last year that requires dental insurers to spend at least 83 percent of premium dollars on dental services or refund the difference to patients, among other requirements.
Two dentists recently spoke with Becker's about how Guardian's move could impact dental practices and patients.
Editor's note: Responses were lightly edited for clarity and length.
Myron Bromberg, DDS (Los Angeles): Most insurers will be watching to see the fallout, if any, not dissimilar to monitoring the Bud Lite issue. The fallout may well take the direction that Guardian is far more interested in their bottom line than providing appropriate care. I think this was a bad, thoughtless decision on their part. If I were their competitor, I would publicize the heck out of that decision, especially when negotiating to get a new contract with a purchaser.
Huzefa Kapadia, DDS. Kapadia Dental Care (Waterford, Mich.) and Detroit Sterling Dental: I do expect more dental insurance companies to follow. Unfortunately, it will make dental care less affordable and more expensive for those employers and employees.
It may slow down some dental offices, but it's always good to have a diverse demographic and patient base. I have one office in a suburban blue collar area and another dental office in an inner city area. They both are sustainable. Each office has different ebbs and flows which keep dentistry interesting for me.