By Tim Greaves, Cain Watters and Associates
A new Tricare Dental Plan will have active-military, National Guard, Reserve members and their families switch from MetLife to United Concordia on May 1. The contract negotiations expand some of the benefits for military families – however, dental providers may see adverse effects to their bottom line.
The five-year United Concordia contract could have a negative impact on practice collections. For one Cain Watters and Associates pediatric client, the numbers are startling.
An analysis was done by pulling the total procedure counts for the last 12 months for all Tricare patients. It was determined their Usual and Customary Rate (UCR) fees for those procedures were about $1,175,000; MetLife reimbursed about $1 million and United Corcordia will pay them about $430,000.
Cain Watters & Associates LLC is an investment advisor registered with the Securities & Exchange Commission. Information provided does not take into account individual financial circumstances and should not be considered investment advice to the reader. Request form ADV Part 2A for a complete description of CWA’s financial planning and investment advisory services. There is no assurance that other client actual results will be similar to information presented. Estimated future results may not be obtained due to economic, business and personal circumstances.
Tim Greaves is a partner of Cain Watters and Associates, he works with over one hundred clients and is the Partner in Charge of the CWA accounting team. He is a Certified Public Accountant as well as an Investment Advisor Representative.