'It Is No Secret That I Don't Like Dental Insurance'– Suze Orman Shares Why Dental Savings Plans Are Better

Suze Orman has never been shy about her opinions on personal finance, and when it comes to dental insurance, she doesn't hold back. In a recent episode of the Women & Money podcast, Orman made it clear: "It is no secret that I don't like dental insurance." Instead, she and her wife, KT, swear by dental savings plans, which they say offer better value and more flexibility. Here's why.

Don't Miss:

• If You're Age 35, 50, or 60: Here’s How Much You Should Have Saved Vs. Invested By Now
• The average American couple has saved this much money for retirement — How do you compare?

The Downsides of Dental Insurance

Orman points out several key issues that she has with traditional dental insurance: 

• Expensive premiums – Many plans require monthly premiums that can range from $20-$50 for individuals or $50-$150 for families, sometimes more depending on coverage. 
• Annual coverage limits – Most policies cap coverage at $1,000 to $2,000 per year. When you have major procedures like root canals, crowns, or dental implants, that limit goes quickly, leaving policyholders to pay the rest out of pocket.
• Waiting periods – Many dental insurance plans have waiting periods of a few months to a year before you can receive full coverage for major procedures. 
• Limited coverage for major work – Preventative and routine care like cleanings and checkups are typically covered 100%, however, more expensive treatments like fillings and crowns often require substantial co-pays or are only partially covered. 

With these limitations, Orman believes that most people are better suited with a dental savings plan. 

Trending: ‘Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. You can invest today for just $0.26/share with a $1000 minimum.

How Dental Savings Plans Work

Dental savings plans operate on a membership model, rather than using monthly premiums like traditional insurance. Members pay an annual fee, generally around $200, and in return, they receive discounted rates on dental procedures at participating dental offices. Savings typically range from 10% to 60% on various dental procedures. 

Orman spoke about her own experience with such plans and how the savings add up quickly, stating that she saves around $1,200 on each root canal procedure–which she needed three of in a two-year period. KT added that she always saves over $1,000 on crowns.

Unlike insurance, dental savings plans don't have an annual cap on savings and members can start using the plan almost immediately after signing up. 

See Also: Many are surprised by Mark Cuban's advice for lotto winners: Cash or annuity?

Who Benefits Most From A Dental Savings Plan? 

Depending on your individual or family needs, a dental savings plan may not be the best fit for everyone. But they can be a smart choice for: 

• Retirees on Medicare: Traditional Medicare doesn't cover most dental work, so a savings plan can be an affordable alternative. 
• Uninsured individuals: Those who don't have employer-provided dental insurance can access lower-cost dental care without high premiums. 
• People with good oral health: If you primarily need preventative care with the occasional filling or crown, a dental savings plan can provide major savings over time. 
• Families needing major work: If you need to avoid the long waiting periods that insurance may require, a dental savings plan provides immediate discounts for major work. 

While insurance can still be a good fit for those needing extensive coverage, Orman believes a savings plan can offer more flexibility and affordability for many people.

Before making a decision, take the time to assess your dental needs, compare costs, and consider how often you require dental care. Whether you choose insurance or a savings plan, making an informed choice can help you protect both your teeth and your finances.

Read Next:

• Many are using retirement income calculators to check if they’re on pace — here’s a breakdown on what’s behind this formula.
• This Company Is Launching Major Franchises Featuring Cinderella, Snow White and other billion dollar characters. Their funding window closes today so take advantage of just $2/share ($980 minimum) Limited shares available