Dental Insurance Articles
How Dental Insurance Quotes Change After A Short Coverage Lapse
2012-02-01
Dental insurance, much like health insurance, has been on a steady climb in the last few years. The reasons are varied and spread amongst the different states that are allowed to govern insurance independently of each other. The Affordable Care Act, which was signed in 2010, has made it a little easier and a little more affordable for individuals to obtain dental insurance policies. However, the fact remains that many Americans are unable to obtain a policy because of the high costs. This fact is coupled with the fact that many employers have ceased providing health insurance benefits to their employees. Overall, obtaining a policy has been difficult for some time now, and can be even more difficult for individuals who have experienced a lapse in coverage. But that doesn't mean there aren't affordable options. But options and dental insurance quotes do change after a lapse, and it's important to understand how.
Dental insurance quotes will be different after a lapse in coverage for several reasons. One of the main reasons that insurance companies take into consideration is the chance for illness or injury during the lapse. It's possible that individuals could have had dental issues during their lapse in coverage or that they may have sustained an injury that knocked out a tooth or knocked out a filling. Because of this, individuals are placed on a high risk level for insurance. The reason they are high risk is because of just the chance that something may be wrong and once signed to a new policy, the insurance company will have to pay out a claim.
Along these same lines, many dental insurance companies will require a pre-dental checkup in order to qualify for a policy. The insurance companies just want to make sure that there weren't, in fact, any injuries or dental issues during the lapse in coverage. This covers the insurance company from paying out on a claim for something that happened when the individual wasn't insured.
Rates for individuals after a lapse in coverage tend to be higher than when they did have coverage. For the reasons above, in addition to the changes in insurance laws, the rates climb higher over time. Although insurance companies are not allowed, by most state laws, to decline coverage to any individual, they are still able to hike up prices to cover their business. This goes for just about any type of coverage, but is important to note anyway.
If there has been a lapse in coverage for dental insurance, individuals need to ensure that they do not sustain dental injuries during the lapse. Expect higher rates and possibly less coverage with the new policy.