Report says dental care plans less affected by recession

The authors, Laing & Buisson, said the number of subscribers to dental benefit plans fell by 2 per cent in 2009 to reach 3,259,000 at the start of 2010, following marginal growth of 1.5 per cent in 2008, and strong growth of 10 per cent and 31 per cent in 2007 and 2006 respectively. Roger Matthews responded to GDPUK saying that Denplan saw continued recruitment of new patients from existing dentists. ‘But we did see a slow-down in the number of dentists moving from NHS to the private sector.’ Laing & Buisson said the vast majority of subscribers to dental benefit plans, 81.5 per cent, subscribed to a dental capitation plan. The remaining 18.5 per cent are covered by dental insurance plans sold to individuals/employees and employers. The small demand contraction in 2009 was evident in both the capitation sector (down 2.1 per cent) and the dental insurance sector (down 1.3 per cent) following growth polarisation in 2008. Spending on stand alone dental cover reached £553 million, with £477 million spent on private capitation fees and £75.8 million spent on dental insurance premiums. Roger Matthews, Chief Dental Officer of Denplan commented for GDPUK: ‘I’m not entirely sure of the basis on which L&B make their forecasts and analyses for the dental market but their figures suggest that, even despite the recession, the dental plans and insurance market held up remarkably strongly. Top-line analysis suggests that the PFPI market may have shrunk up to 10 per cent during an equivalent period, again demonstrating the value that dentists and patients place on being able to spread the costs of their dentistry. Throughout this period Denplan as market leader, saw continued recruitment of new patients from existing dentists, but we did see a slow-down in the number of dentists moving from NHS to the private sector - again influenced by the economic conditions that existed and the unprecedentedly high take-home pay for NHS Principals. Interestingly Denplan's company plans continued to show very strong growth throughout this period - suggesting that dental cover remains a ‘valued’ benefit by employers and employees. We believe that the dental plans and insurance market will continue to expand over the coming years. The decisions and priorities that will have to be made within the NHS to achieve the £20bn of ‘efficiency savings’ suggest strongly that NHS dentistry has now come to the end of its ‘golden period’ and more practices will be looking to continue their growth and development in the private sector. Already PCTs are cancelling procurement contracts for UDAs.