Types of Dental Insurance
Individual dental insurance plans have different options. According to America's Health Insurance Plans (AHIP), dental coverage is divided into three types:
- Dental health managed organizations (DHMO)
- Preferred provider organizations (PPO)
- Indemnity plans
Dental Health Managed Organizations (DHMO)
Under a DHMO plan, you'll choose a dentist in the plan's network for your primary provider. DHMO will typically cover visits to your primary provider or treatments from a specialist once your primary provider makes a referral.
Preferred Provider Organizations (PPO)
You don't have to choose a primary provider under a PPO plan. As long as you select a dentist or specialist within the plan's network, your care is covered. You can still visit a dentist outside the network, but the visit could cost more.
You're free to use any dentist you choose under an indemnity plan. These plans are sometimes called "fee-for-service" plans. You will pay a co-pay and a premium, and then the plan will cover a certain percentage of the cost of treatment.