U.S. dental benefits enrollment down 6%

Nov 15, 2010

Dental benefits enrollment in the U.S. for 2009 decreased 5.7% compared with 2008 enrollment, according to a new report by the National Association of Dental Plans (NADP) and Delta Dental Plans Association (DDPA). This is the first such decline since NADP began reporting dental benefits enrollment data in 1994.

At year-end 2009, approximately 166 million Americans were covered by some form of dental benefit through group or individual plans, according to the NADP/DDPA 2010 Dental Benefits Enrollment Report. This is about 10 million fewer than year-end 2008 and represents 54% of the U.S. population. By contrast, enrollment from 2006 through 2008 grew in line with population growth, holding steady at 57% of the U.S. population.

"While total enrollment significantly declined in 2009, the number of employer groups offering dental benefits remained consistent compared to the previous year, based on data submitted for the report and other industry studies by LIMRA and NADP," said NADP Executive Director Evelyn Ireland in a press release.

"The reduction in subscribers in some employer groups in 2009 most likely reflects family financial constraints and layoffs as Delta Dental's data indicates that dental benefits remain an important part of employer benefits programs despite a challenging economy," added Kim Volk, president and CEO of Delta Dental Plans Association.

Other reports, including NADP's 2008 Purchaser Study, confirm that when employers are faced with tough economic choices in their health benefit packages, they ask employees to fund a greater portion of the premium to keep dental benefits intact, the group noted.

Other key findings of the 2010 Dental Benefits Enrollment Report include:

The trend toward dental PPO (DPPO) products continues among commercial products, with 69% of all commercial dental benefits reported as DPPO.
Indemnity and dental HMO (DHMO) products continue to decline in market share, while discount products maintained market share.
Dental benefit premiums and fees are paid at least in part by most enrollees. While discount plans report 99% of all enrollees paying at least part of the fee, insured products range from 85% of DPPO enrollees paying a portion of premium to 61% of dental indemnity enrollees paying for a portion of premium.
Only 1% of the U.S. population with dental insurance products (DHMO, DPPO, or dental indemnity) has its benefits through individual policies. Roughly 9% of dental discount products are sold as individual policies.

This report also contains specific information on DHMO, DPPO, dental indemnity, and discount dental enrollment at the national and state levels. The report is based on data from 88 companies, NADP noted.