5 Reasons NOT to Increase Your Reliance on Managed Care

With reimbursement rates falling across the board, dealing with insurance companies has become more trouble than they are worth. Going in network isn’t the only way to fill the schedule.

In fact there are better options for increasing new patient flow and stimulating practice growth without having to increase reliance on managed care. Here are 5 reasons to reduce the insurance companies’ influence on your practice:

1 – Collections Issues

Talk about a nightmare. Most practice management consultants recommend a 95-98% collections rate. Hard enough to achieve on its own, but becoming a provide for insurance plans just makes attaining this goal nearly impossible.

2 – Loss of Control of Your Fee Structure

Having to reduce your UCRs to the insurance companies’ liking defeats the purpose of being in private practice if you can’t even set your prices.

3 – Decrease in Patient Perception of “Quality”

One of things patients hate most about going to their medical doctor is the wait. Patients with appointments often find themselves waiting up to an hour while the MD has to see 10 patients per hour just to afford his or her overhead.

Why would a dentist ever want to emulate a medical practice? If you want to project an image of quality comprehensive care, a volume-based drill and fill operation may not be the way to go.

4 – Why Offer a Permanent Discount?

What is an insurance company? Basically it’s a marketing scheme. In return for them filling your appointment book, you agree to discount your services to the people they send to you. Forever.

5 – There Are Other Options!

With an in-house dental membership plan like QDP, dentists can offer their patients an alternative to dental insurance. Patients pay the dentist an annual membership fee and in return they receive a year’s worth of preventive care. The dentist gets paid up front and the patient has one low annual fee that is often a fraction of an annual dental insurance premium. There’s no third party involvement, and dentists get to collect their own fees and stay in charge of their fee schedules.

Insurance is not the only option for dentists. Alternatives exist that actually benefit the patients and the doctors in a more effective way. Reduce your reliance on managed care and set your practice on a path to success.