Paying out for a financial product in this day and age has become a quite fraught situation to face – we all know that there are advantages to having a plan, but it depends on it being the right one. And making sure that you have the right plan is always easier said than done. Whether it be a credit card, mortgage or insurance plan, or anything else besides, it’s always important to look out for the hitches in a financial product – because there’s every chance there are going to be some.
The more a company, bank, or lender insists that their product is perfect and works for everyone, the more you should exercise suspicion because the simple truth is that no product is perfect for everyone. And so when it comes to people’s criticisms of dental insurance and dental discount plans, it is essential to avoid being swayed by the noise. For dental discount plans, you will often have people point out that paying up front, and paying again when you have treatment, means you’re already paying a lot.
How true or otherwise this is seems hardly to be the point. The argument that often arises is that, unless you’re going for enough of a certain type of treatment, then you may well not even save any money by being on a dental discount plan. And it’s not much of a money-saving scheme if it’s actually costing you money, is it?
The truth of the matter is that, with an initial outlay and processing fee, you are already making some payment. And when you go to your dentist for treatment, you pay out a bit more again. That can seem like it’s starting to add up, without a doubt. There is a fairly basic formula at play here. If the amount you pay for your dental discount card plus the amount you pay out for treatment exceeds the amount that you would have paid for the same treatment without the plan, then you aren’t saving money.
However, even this limited argument against dental discount plans doesn’t hold a great deal of water if the alternative is paying for a standard dental insurance policy. In most cases, your monthly premiums will exceed what you’d be paying for a dental discount plan and, although you may well be entitled to all of your appointments being paid for in full, there’s every chance you’ll spend some time negotiating with the insurance company to even see a cent out of them.