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The National Association of Dental Plans (NADP) says the dental benefits market continues to grow.
Enrollment in dental benefits plans has grown dramatically since the late 1980s. Delta Dental, the nation's largest dental benefits carrier, saw enrollment increase 57% from 1989 to 2005. More than half the U.S. population (about 162 million people) had dental benefits in 2005, according to 2005 State of the Dental Benefits Market Report.
The NADP's director of research and information noted that dental benefits rank just behind health and retirement as employees' favorite benefit. "Seven out of 10 employers (71%) offer dental benefits, often using them as the differentiating factor in recruiting and retaining employees," the director said in Employee Benefit News.
The NADP also studied demand for various plan types. It found:
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Demand increases for DPPOs, while fee-for-service faces modest declines. Dental preferred provider organizations have seen enrollment gains in part because some employers switch to them from dental fee-for-service plans.
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DHMO demand remains steady. The sector continues to consolidate in states with concentrated urban markets.
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Stagnant enrollment in discount dental plans.
The NADP also reported that 1 in 4 employers surveyed said they planned to change their dental benefit plans that year. Of those, about half said they would use brokers or consultants when selecting their new benefit plans.
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