Question 2 -- An Explainer

The Tri-County Regional Chamber of Commerce convened a Zoom call on Tuesday to delve into the four ballot questions that voters face this year, and Observer participated along with “technical expert,” Rep. Shawn Dooley.

Below is a summary of the presentation.

Question 2: Enacts a medical loss ratio of 83% for dental insurance plans beginning on January 1, 2024

Question 2 would require dental insurance carriers to submit to the insurance commissioner current and projected medical loss ratios (portion of premium revenue a healthcare insurance company spends on claims, medical care, and healthcare quality for its customers in relation to administrative costs) for plans and specified financial information.

Every 83 cents out of the dollar would have to be spent on patient care, with the other 17 cents going towards administration costs. Any additional money would go back as rebates to patients if the 83% mark is not met.

This would also compel dental insurance companies to provide financial information so everyone knows how the money is being spent.

REASONS TO VOTE YES

• Financial information will be made public which allows for transparency
• Assurance that insurance companies are spending their money mostly on patient care.
• It keeps the companies accountable to their clients so nothing is hidden.
• · More money would be spent on patient care including services such as root canals, cleanings, fillings, and gum surgeries.

Who supports question 2?
Committee on Dental Insurance Quality
Fair Share for Dental Care
Massachusetts Dental Care Providers for Better Dental Benefits

Unions
Alliance of Independent Dentists Massachusetts
Association of Independent Dentists
Massachusetts Association of Orthodontists
Massachusetts Society of Oral and Maxillofacial Surgeons
Medicaid Orthodontists of Massachusetts Association

Organizations
American Dental Association
Massachusetts Dental Society

The committees in support of this ballot measure raised a total of $7,820,027.95.

It looks like both sides, the dentists, and the insurance companies put out an equal amount of money into this. So, it is really an unknown how this would play out.

REASONS TO VOTE NO

Who opposes question 1:

• Dental insurance premiums could increase (up to 40%) greatly which could result in many people losing their dental insurance if they cannot afford the price hike.
• It could also mean dental insurance would start offering less in terms of benefits which could mean a loss in quality of care.
• Smaller insurance carriers may be more significantly affected. They may be unable to afford these changes and to adequately pay their administrative costs and employee salaries.

Who opposes question 2:

Committee to Protect Access to Quality Dental Care
Committee for Competitive Dental Plans for Consumers

Corporations

• Dental Service of Massachusetts
• Metropolitan Life Insurance
• Principal Life Insurance
• Sun Life Financial
• United Concordia Companies

The committee in opposition of this ballot measure raised a total of $7,659,364.44

Questions:

Q: Do we know the impact of this change for the consumers?

A: That’s the big question. The Yes people the law will force insurers to spend more on patients and be more efficient but the no folks say there is no research that proves this. On the other hand, they did a study that seems to show premiums will need to rise to pay for the expenses the measure will incur on insurance companies.

Q Will it raise rates and/or reduce benefits?

A; Again Yes people say rates will stay the same and benefits will improve while No people say it is untested, will raises costs --- and rates – and may even reduce who gets or can afford dental insurance.

Q: Will it make it easier for poorer people to get dental insurance.

A: Unclear. If they get dental insurance, and the ballot measure passes, they should get good benefits at a reasonable price. However, the “No” people warn that costs will rise and if that happens most likely fewer low-income people will be able to afford dental insurance at all.