Here are some reasons why both employers and employees like the DR/DA plans:
Why do employers like DR/DA?
- It can save money by lowering the cost of benefits and reducing administration expense.
- The employer retains total flexibility and control.
- Small as well as large companies, with or without an existing self-insured medical plan, can utilize DR/DA.
- Simplicity is ensured.
- Funds budgeted to pay claims stay with the employer and can earn interest.
- The employee identifies with the employer as the benefits provider rather than an insurance company and morale improves.
- Co-payment factors and maximum annual ceilings help control costs and limit employer annual risk; thus, plan cost increases can be eliminated or, at the very least, minimized.
- The plan is extremely cost-effective compared to traditional insurance dental programs and even cost-effective with advantages for plans that are presently self-funded.
Why employees will like DR/DA:
- It’s easy to understand and they know the amount of reimbursement they’ll receive before visiting the dentist.
- They need only provide proof of payment and a simple statement from the dentist to get reimbursed. No complex claim forms. If a credit card is utilized for payment, the employee is usually reimbursed prior to receipt of the credit card billing or the employee can assign benefits so that the dentist is paid direct by Direct Reimbursement Dental.
- It offers them the freedom to select the dentist of their choice.
- There are typically no exclusions, restrictions or pre-existing conditions.
- There are no pre-authorization requests from insurance companies.
- A greater portion of dental care dollars goes to actual treatment.
- It has enriched benefits, it’s simple and it’s hassle-free.