How a Strategic Membership Model Can Grow Your Patient Base!
Providing excellent service is not always sufficient in a competitive dental market today. Patients are concerned about their out of pocket expenses. Savings may be valued equally to clinical care, particularly for people with out of network insurance coverage (OON). So, without signing up for every PPO in existence, how can your dentist’s office take in and keep OON patients?
Let’s look into creating an Out-of-Network Membership Savings Plan, which is an easy and efficient method to turn a possible loss of patients into a loyal fan of your office.
Understanding Your Patient Landscape
A variety of patient types are seen in every dental office. They usually fit into one of these four groups:
- Medicaid or Government Insurance Patients
- In-Network Commercial Insurance Patients
- Cash-Pay Patients
- Out-of-Network Commercial Insurance Patients
Systems for Medicaid and in-network patients are already in place in regards to how to administer services and fees. Patients without insurance who pay cash? In order to make care easier and more affordable for their patients, many practices are now offering in-house membership programs. But what about the out-of-network patient group? How can they get more affordable care that promotes loyalty to the dental practice?
This group frequently slips through the cracks because there is no system in place that can help them in paying for care outside of their insurance network. This is an opportunity that gets lost.
Now is the opportunity to create a membership plan specifically for your office’s OON as well as your cash-pay patient groups if you wish to expand them.
The Out-of-Network Membership Plan: A Two-Part Strategy
Creating value and loyalty with a plan that benefits the patient and your practice is the goal.
This is how it works:
1. Create an Out-of-Network Membership Savings Plan
Patients who have insurance but see out of network providers are the only ones eligible for this plan. It offers:
- An improved cost structure for important treatments such as fillings, crowns, and more.
- Having access to preferred pricing helps them control their out-of-pocket expenses.
- A feeling of trust and “membership” is developed in your workplace.
Why it works: Your membership bridges the gap between approved amounts and real fees while patients continue making use of their insurance benefits. It makes continuing to be seen in your office a wise financial choice.
Real-World Example: The Numbers Make Sense
Suppose a patient requires a crown:
- Your usual charge is $1,300.
- $800 is the “allowed” amount for insurance.
- 50% is covered by insurance: $400
- Out of network, the patient has a copay of $900 in cash.
The crown charge is only $900 with your Out-of-Network Membership Plan.
The patient now only pays $500 because the insurance still pays $400.
The patient saves $400 as a result, and you keep the patient.
The patient doesn’t look for another provider where they likely will incur new exam and xray fees to become a patient there. And the office isn’t operating under in network restrictions that could hinder options for care.
2. Motivate Your Team with a Staff Incentive Program
Here’s a quick tip to increase enrollment:
- Establish an affordable membership cost, such as $1 per visit for each patient membership.
- To track it, use a unique billing code.
- The staff could be eligible to receive that $1 as a direct incentive to take time to explain the option to the patient and apply the discounts.
Why this matters: When there are incentives in the plan for the staff, they are prone to make time to recommend and explain the benefits to the patient, and patients gain by receiving care that is more reasonably priced. It benefits both parties.
Why This Model Builds Loyalty and Revenue
If they had a positive experience, the majority of patients with OON insurance wish to remain. However, cost can often be the deciding factor. Your updated strategy:
- Makes patients want to stay.
- Makes patients aware that the dental treatment is reasonably priced.
- Gives the office more flexibility to cover costs on specific procedures as needed.
Also, by creating a membership club, you create a community of patients whose concerns feel recognized, appreciated and understood.
Turning Out-of-Network Into In-House Loyalty
Out-of-Network Membership Plans are more than just an intelligent business move. Despite what their insurance may say, it’s a strategic retention strategy which gives the patients the clarity and satisfaction they need to keep visiting.
You can encourage your team to act as spokespeople for your patients and your business when you combine this approach with a staff incentive program.
Are you willing to create an OON-friendly practice? Begin creating your membership structure right now, and you’ll see an increase in both revenue and loyalty.