Offering small-group dental insurance in Texas comes with a host of questions.
What type of group dental insurance plans are available?
How can I save money and offer a dental plan for employees?
Is it worth it to offer dental coverage?
In the following article, we will discuss what dental insurance looks like from an employer’s perspective, specifically how to understand and navigate the challenges associated with the market.
We’ll also look at costs, plan options, and how offering dental coverage could give your business a competitive advantage.
Understanding the Costs and ROI of Dental Insurance
Are you seeking help understanding the costs and benefits dental insurance can offer your business?
Let’s start by exploring the costs associated with group dental insurance for employers in Texas.
What Factors Influence Dental Coverage Costs?
Several factors influence the costs. The average dental insurance plan costs $52 a month. A preventive care plan costs about half that at $26 per month.
Some factors that influence that cost include:
Coverage—What’s included and excluded from the plan?
Annual Maximum—The maximum the insurer will pay per year in coverage.
Out-of-pocket costs—Deductibles and coinsurance.
Company size—The more employees you cover, the more you’ll pay in dental costs.
Employee demographics—Age and health determine how much your plan will cost.
You can find plans as low as $1 per day per employee. There are flexible plan options available to fit your budget. Coverage varies, but there are plenty of options available.
You can also opt for voluntary plans, where your employees will pay all or part of the premium. If you pay 50% or more of the costs and have less than 25 employees, you could also receive a tax credit for your expenses.
What is the ROI for Offering Dental Insurance in Texas?
Now that you know the costs of group dental insurance plans, what’s the ROI for offering it to employees? Dental insurance can provide a significant return for employers in a couple of ways.
- Healthier employees create healthier companies—increased productivity! No one likes to work with a toothache! Estimates are that workers miss over 90 million hours of work every year because of unplanned dental visits.
- Over 85% of employees search for better benefits when job hunting—Also, employees report higher job satisfaction when they have a high-quality dental plan.
Better benefits make you more competitive and lead to employee satisfaction. Employees consistently cite benefits as the second most important reason they are searching for a new job, second only to wages. Offer employees plans that benefit their health and watch as better talent is attracted to your company.
What Are Some Ways You Can Reduce Dental Insurance Costs?
You can employ a few strategies to save on small-group dental insurance costs. For example, you can choose plans with high employee participation or negotiate with dental insurance providers.
Employees will be responsible for most of the cost of voluntary dental plans. As an employer, you enjoy the benefits of offering dental coverage, and employees get the benefits of coverage.
Encouraging preventative care can also reduce the cost of employer dental insurance plans. Ensure employees receive free preventative dental care benefits such as annual cleanings, check-ups, and x-rays. You may be able to take advantage of discounts if your employees have a high preventative care utilization ratio.
Choosing the Right Dental Insurance Plan
The best plan for your company depends on your group demographics and the costs you would like to stay in or around. Some of the most common group dental insurance plans include:
| Plan Type | Strengths | Weaknesses |
| PPO Plans | Flexibility in choosing any dentist, extensive networks, comprehensive coverage | Higher premiums, higher out-of-pocket costs, complex billing process |
| HMO Plans | Lower costs, simplified billing, focus on preventive care | Limited provider choice, referrals required, potential wait times |
| Indemnity Plans | Maximum flexibility, no referrals needed, comprehensive coverage | Higher out-of-pocket costs, higher premiums, complex claims process |
To determine the best plans for your employees, consider the following tips.
Tip #1. Understand Employee Needs
Run a company-wide survey. Ask employees what their most significant dental concerns are. Include options like family coverage and preferred providers.
Tip #2. Check Provider Networks
Consider both in-network and out-of-network providers when looking at your dental insurance Texas plan. A plan with a broader network can reduce out-of-pocket costs for employees.
Tip #3. Think About Plan Flexibility
Customizable plans allow employers to choose specific coverage levels or benefits. This flexibility can help tailor the plan to fit the needs of your workforce better. You can also offer tiered plans with different levels of coverage to provide employees with multiple options for their family needs.
Navigating Administrative Challenges and Compliance
If you offer group dental insurance for your Texas employees, there are multiple things to consider when navigating administrative challenges. For example, how will you manage enrollment, handle claims, or deal with provider networks?
As a small business, you might not have the time, energy, or resources to allocate to dental insurance admin challenges.
Additionally, compliance with Texas dental insurance regulations is important but challenging. For example, Texas employers must choose insurance carriers licensed by the state of Texas Department of Insurance (TDI).
Also, although group dental insurance plans are considered voluntary, mandatory minimum coverage requirements exist.
Employers should also remember that COBRA Continuation Coverage also applies to benefits like dental insurance in Texas.
You can simplify dental benefits management using third-party administrators, online portals, and advanced HR software—or you can work with Primary Care Insurance Solutions.
Leveraging Dental Insurance for Competitive Advantage
Offering group dental insurance plans can significantly improve your company’s competitive advantage. Leveraging dental benefits as part of your recruitment strategy will help you stand out in the job market.
Regarding dental benefits, the current trends call for a focus on preventative care, integrating dental with overall health benefits, and using digital tools for management. Even if your competitors don’t offer dental insurance, providing it can be just the strategy your business needs to remain competitive.
Need Help Setting Up A Group Dental Plan in Texas?
At Primary Care Insurance Solutions, we are proud to help small businesses throughout Houston and Texas create attractive employee benefits and wellness packages.
Our team has over two decades of experience and offers strategic guidance for your overall health insurance strategy.
If you have questions about how small-group dental insurance can benefit your business, we’d love to hear from you.
With over 85% of workers reporting that dental coverage matters to them, it’s worth the investment. We’ll show you how to cut costs on your benefits and create a package that attracts top-tier talent.
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