Delta Dental’s practice acquisition sparks concerns among dentists

Delta Dental of Wisconsin acquired Cherry Tree Dental, a practice based in Madison, Wisconsin, with over 30 locations in the Midwest. The purchase is unusual in the dental industry, as it blurs the line between insurer and care provider, according to a news story from Wisconsin Public Radio. The American Dental Association and Wisconsin Dental Association warn the move could create conflicts of interest, potentially prioritizing cost savings over patient care.

“When an insurance company becomes both health care provider and insurance payer, questions arise regarding potential conflict of interest,” according to a statement issued by the American Dental Association. “From a business standpoint, dental insurance companies seek to minimize cost and maximize profit. As a result, patients may find their treatment options limited to what is most cost-effective for the insurer, not necessarily what is most effective for their oral health.”

Delta Dental argues that Cherry Tree will maintain independent leadership and clinical decisions, citing existing safeguards in similar health care-insurance arrangements.

“One of the most important (rules) is that Cherry Tree Dental will have its own leadership team that is making its own kind of carrier contracting decisions, and they’ll be having their own reimbursement negotiations with those carriers,” said Jed Roher, chief legal officer with Delta Dental of Wisconsin. “Delta Dental of Wisconsin will have no visibility to those conversations. Equally, clinical care decisions will be made by the dentist and the patient.” 

In Wisconsin, dental offices can be owned by nondentists — a policy shared by fewer than a dozen other states.

Read more: Wisconsin Public Radio

The article presented here is intended to inform you about the broader media perspective on dentistry, regardless of its alignment with the ADA's stance. It is important to note that publication of an article does not imply the ADA's endorsement, agreement, or promotion of its content.