5. Payment for Dental Care Flashcards
Advent of Health Insurance
u Pre-World War II
u Patient Provider
u ____
u Post-World War II uAdvent of \_\_\_\_ Party uPremium for protection against potential loss uUnion-employer negotiations u \_\_\_\_ benefit (Taft-Hartley Act)
• Pre WWII ○ Relationship bt patient and provider > FFS ○ Relatively modest fees ○ Not everyone could get to dentist; if couldn't afford > robin hood effect > the healthcare provider was a \_\_\_\_ based on the dentist's perception • Post WWII ○ Third parties > insurance that was similar to protect house, car, etc. § Premium against \_\_\_\_ ○ Came about > health benefits are offset of \_\_\_\_ § Started bc of wage and salary freezes > then THA allowed to pay with tax-free dollars
FFS
third
tax-free
social worker
loss
salary
Insurance Principles u Definable risk - yes u Catastrophic - no u Infrequent - no u Unwanted nature - yes u Outside person’s control - no u Without “moral hazard - no
insurable because utilization how can we have dental insurance?
○ Utilization is always less than 100%
○ Perceived need for care vs. the normative which is determined by the ____
100
catastrophic
professional
Control of Demand by Third Parties
- ____
- Deductibles
- ____ only coverage
- Limit range of services
- ____ periods
- Pre-authorization
- Annual ____ caps• Deductible
○ Pay certain amount before insurance kicks in
○ Makes you ____ about expenses and visits, etc.
• Co-payments
○ 10-20% range
§ In PPO’s can be smaller
○ Makes people ____ if they need to go
• Waiting periods
○ Wait 6 mo before you can have certain procedures
○ ____ is an example
• Pre-auth
○ Dentist has to submit treatment plan to insurance company
• Annual expenditure caps
○ $____/year is common for dentistry
○ Not a problem for normal recall - but for RC and crowns > will be way over the cap
co-payments
group
waiting
expenditure
think
think
crown and bridge
1500
• FFS
○ Receive care and ____ for that care
○ Or submit to insurance
• IPA
○ Independent practice association
○ Clusters of dentists that agree to provide service, under the umbrella of ____
§ PPO - orgs that take money from ____ and provide benefits to employees of the org
• POS
○ Won’t talk about
○ More on medical side (point of service)
○ If you have a plan that allows to go straight to ____; some plans allow, but most plans you have to go see your PP
• Par v nonpar
○ Participating v non-participating dentists
• UCR
• Fee percentiles
• Managed care
• Table of allowances
• Capitation
pay
PPO
employers
specialist
Types of Third Party Reimbursement
u Fee-for-Service uTable of \_\_\_\_ (\_\_\_\_ ok) u\_\_\_\_ Schedule u\_\_\_\_ fees u \_\_\_\_
u Capitation
u Value-based
• Table of allowances ○ Insurance establishes a fee schedule that syas we'll pay this much, and if your fee is higher than feel free to collect from \_\_\_\_ • Fee schedule ○ No \_\_\_\_ billing • Discounted fees ○ Not popular ○ But applies to \_\_\_\_ where a dentist may agree to disocunt fees to get more patients into a practice • Value-based ○ Beginning to make an impact in \_\_\_\_
allowances balance billing fee discounted UCR
patient
balance
PPO
medicine
UCR Fees
uUsual - dentist’s ____ fee for procedure
uCustomary- plan determined ____ fee
uReasonable – fee modified for ____
• Plan - that the employer and insurance company agreed to • Special conditions ○ Disability, etc. ○ Can negotiate with the company for a higher fee to cover the additional time needed to deal with patient
normal
maximum
special conditions
- Patient goes to dentist and ____ for care
- Employer pays employee a salary but also pays a premium benefit (that goes to insurance); dentist sends claim to insurance company, and the ____ pays the dentist
2A. Dentist accepts the assignment; bills the insurance company for the patient; also where dentist does not accept assignment from insurance company; will provide care, and patient will pay, and the patient will do the ____ and submit the claim to the insurance company, and receive ____ back from the insurance company
- Employer pays employee a salary but also pays a premium benefit (that goes to insurance); dentist sends claim to insurance company, and the ____ pays the dentist
pays
insurance company
paperwork
money
• Fee at the 80th percetile: $68
○ 80% of dentit charge 68 or less
• 90th percentile: $72
○ Plan pays at 90th percentile > you ge tpaid ____ even if fee is 80/90
• What if fee is $40, and then in program that participates at 90th percentile > you get paid $____
○ If below the upper spot > you get your fee, those that won’t be happy are those above that percentile
• People above the ____
72
40
90th
Dental reimbursement - plan types
u Not-for-Profit
u Dental service
____ (Delta, BC/BS)
u 1954 – ____ Union & Seattle Dental Society
u Adapt private practice to ____ purchasing
u 42 M now covered
u For Profit \_\_\_\_ insurance Indemnity plans \_\_\_\_ not used Fee profiles by \_\_\_\_ Add-on to medical
* Add on to medical > exchanges with the \_\_\_\_ * Only have one insurance company > \_\_\_\_
corporations longshoremen group commercial UCR region ACA for-profits
Reimbursement under Delta Plans
Participating dentists u Sign \_\_\_\_ u \_\_\_\_ payment u Usually \_\_\_\_ Percentile u \_\_\_\_ common u Fee audits u QA of patient sample
NonParticipating
u____ percentile
u ____ billing ok
• Delta non-profit ○ Participating dentists > a large portion belong to deltas ○ Fee audits - to make sure that you're offering a dentists lowest price to someone; doesn't change non-Delta patients lower • Non-participating ○ Don't signt hese contracts; but can still take patients that are Delta ○ 50th percentiel - only 50% will be happy ○ Balance billing is ok - you try to collect the difference from the patient; you cnanot do this if you're a participating dentist
contracts UCR 80th-90th copayments 50th balance
Managed Care
- components:
- ____ health services package
- ____ providers
- ____ to use providers
- examples: ____, PPOs
- cost control
- ____ less affected than medicine• Selected providers - do not have ____; but in many plans, so many participate that it’s likely yours is in the plan
comprehensive selected incentives HMOs denistry POS
Health Maintenance Organizations (HMOs)
u Alternative to \_\_\_\_ u \_\_\_\_ (fixed payment per enrollee) u Enrolled population u \_\_\_\_ care u Goal: cost control u Promoted by \_\_\_\_ government
• Instead of paying for a service, pay \_\_\_\_ a capitation fee ○ Insurance company would agree for x amount of money from the employer to provide a certain array of benefits ○ The physicians responsible for the enroll population - paid a fixed fee • Low cost services > keep them healthy > won't have big costs overtime, but you'll be getting \_\_\_\_ reimbursements over time • Fixed amount up front > there will be \_\_\_\_ control
FFS capitation prevention/ambulatory federal perspectively consistent cost
Dentistry in HMOs
u Offered by relatively few \_\_\_\_ u Financed by: u \_\_\_\_ capitation Fee u \_\_\_\_ capitation fee u \_\_\_\_
u Models:
u Staff, ____, IPA, capitated network
u Separate DHMOs
• Primary - pays for the \_\_\_\_ • FFS, even though the health planw as capitated by the mployer • \_\_\_\_ model - most common ○ Clinic with x number of employees - the patients have to go to get service, and the service is part of the HMO • Group practice - combined > \_\_\_\_ (independent practice association, which collects the fee from the service company)
primary additional FFS group health plan staff IPA
Fee-for-service u \_\_\_\_ u Pay as \_\_\_\_ provided u Risk – \_\_\_\_ u Bias – \_\_\_\_ u 75 M in dental PPOs
Capitation u \_\_\_\_: Staff, Group, Independent Practice Associations, Capitated Networks u \_\_\_\_ monthly fee u Risk – \_\_\_\_ u Bias – \_\_\_\_ u 23 M in dental HMOs
• FFS ○ FFS preferred in PPO § Dentists discount fees and agree to provide services for those fees to patients who are covered by that plan ○ Risk: with the third party § The third party has been paid; they're paying you on a service basis > but they don't know how many services you provide □ They spend a lot more potentially if dentists treat too much • Capitation ○ Fixed monthly fee § Capitated networks - can also be solo's under this network ○ Risk is now on the dentist § Responsible for the care, but will only get a certain amount per month ○ Undertreatment ○ Need to have a capitation fee that will support the program § May need help from the outside
PPO
service
third party
overtreatment
HMOs
fixed
dentist
undertreatment
Direct Reimbursement
u \_\_\_\_ promotes strongly u Dentist and patient decide \_\_\_\_ u Patient pays dentist u Patient submits claim to \_\_\_\_ u Employer reimburses patient per agreement u DR not embraced by \_\_\_\_
ADA
treatment
employer
employers
