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Is the dental HMO (DHMO) making a comeback?

Posted by NetMinder -Ignition Group on Mon, Jan 17, 2011

Most of the conversation over the last few years has been about dental PPO networks, however, the DHMO doesn't appear to be dead yet. After declining slightly in 2008, DHMO networks grew 4% and 6% in 2009 and 2010 respectively (Source: NetMinder, Top 10 DHMO networks). 

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While the National Association of Dental Plans (NADP) reports that dental HMO (DHMO) products continue to decline in market share (Source: NADP 2010 Dental Benefits Enrollment Report), network growth, along with new players entering the market, is also a good sign for a product's lifecycle. The attached release shows that Lincoln Financial Group is leveraging networks from Dental Benefit Providers (CA), Solstice Benefits, (FL), and National Pacific Dental (TX) to enter the DHMO market. 

Given the effects of the ongoing recession, the lower price points of DHMO coverage may be a more pocketbook-friendly alternative.

Tags: Healthcare, Economy, Medical, Vision, dental

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