Preferred provider plans and staffing are two main areas where dentists are currently losing the most money.
Four dentists recently spoke with Becker's to share the areas where they feel dentists are losing money.
Editor's note: Responses were lightly edited for length and clarity.
Thomas Anderson, DDS (Clemmons, N.C.): Insurance write-offs. I would definitely stay away from preferred provider plans. Some of the plans have 30% to 45% write-offs. We are currently working to get off these in stages.
Andres Biaggi, DMD. Preferred Dental Center (San Antonio): The two biggest areas where dentists are losing money are the following:
1. Insurance fees are ridiculously low compared to the rise in costs for everything related to dentistry.
2. Staff has become scarce due to regulations and licensing requirements, and to find a good assistant or hygienist, you need to offer salaries that not too many practices can afford.
Michael Davis, DDS. Smiles of Santa Fe (N.M.): Dentists are getting killed with PPO insurance participation. There are two options:
1. Drop PPO participation in a planned stage. This is ideal.
2. If the economics of one’s clinical demographic demands PPO participation, the fiscal shortfall must be made up. That means substantial out-of-pocket fees directed toward patients.
One can’t retain staff and operate today without significant outlays for salaries, benefits and general overhead expenses. That’s not feasible with almost all PPO fee schedules. Therefore, staff and doctors must often upsell services not covered by the PPO plan, if participating with absurdly discounted fees (most plans).
Again, many demographics may not support discontinuing PPO participation. Integrity and ethics can get very muddied when doctors’ backs are to the wall for financial reasons.
Nels Ewoldsen, DDS (Davenport, Iowa): The number one way dentists lose money is paying employees to track down third party payer details. The number two loss category rests with digital technology's exaggerated benefits, limited performance and hidden costs. Digital dentures are a perfect example of this promise versus reality gap. Moss grows fast on unused scanners, design software, printers and milling units.