PPO stands for Preferred Provider Organization. It is an organization formed by a dental insurance company that primarily benefits the dental insurance company. It lists a number of dentists who have chosen to participate in the PPO in exchange for accepting reduced reimbursement from the dental insurance company. A Preferred Provider Dentist essentially accepts less pay in exchange for the opportunity to be busy and fill his or her empty dental chairs.
The charges for dental services are less than with full fee for service dental practices and the payments received from the dental insurance company are likewise less than with full fee for service dental practices. If a dental associate has a fixed yearly salary, there is no problem with this situation. However, if a dental associate choses to be paid based on a percentage of collections, the dental associate must accept reduced net pay for identical services provided in full fee of service dental practices since the reimbursment is lower with PPOs.
For example, if a porcelain fused to gold crown costs $ 1,100.00 in a full fee for service practice then a dental associate paid at 35% would receive $ 385.00 for performing this service. The same exact crown involving the same amout of work with a PPO could be paid at $ 495.00. At 35% the dental associate would only receive $ 173.25. That's a $ 211.75 difference for the same exact amount of work and the same dental procedure. It is very important for a dental associate to find out what types of plans a dental practice accepts before signing a dental associate contract. This can become even more devastating if the dental associate is responsible for the laboratory fee.
If you have any questions or suggestions, please do not hesitate to email Dr. Mark Padolsky at firstname.lastname@example.org. If you are interested in becoming a dental associate with the Atlanta Dental Group PC, let us know!! We are located at 1624 Piedmont Avenue, Atlanta, Georgia 30324.