Forward-thinking organizations thriving in the digital age are leveraging big data analytics to improve their performance, serve their customers more effectively and gain competitive advantage. Organizations offering commercial dental plans are no different.
In today’s information age you can save dollars – not pennies – per member per month, resulting in millions of dollars saved annually. And while it’s critical to leverage every efficiency possible to reduce administrative costs, the real opportunity to drive those significant savings lies within improving your benefit plan design and performance.
Implementing the right data analytics strategies is your pathway to achieving that opportunity.
Elevating Performance across four objectives
Data analytics can help to uncover patterns and gaps not visible with traditional approaches, and the insights are not limited to reducing overall spend. The right data analytics can lead to strategies for achieving additional payer objectives such as improving provider performance, recognizing and rewarding quality providers, and improving the member and employer group experience.
The right data analytics can lead to strategies for achieving these four payer objectives:
Four types of analytics in particular provide the data and insight to help achieve all four objectives:
- Market Analysis. Analytics using historical and current data on your benefit spending market-by-market can reveal opportunities for higher potential savings. Analytics can also be used to track performance after you’ve implemented changes within your plan.
- Reimbursement Analysis. Analysis of reimbursement schedules and methodologies can uncover bloat and inefficiencies at both the program and provider levels, offering a starting point for implementing more effective reimbursement strategies.
- Provider Analysis. Analytics can identify the high-performing dentists delivering the most appropriate and efficient care in your plan, enabling you to reward them with increased referrals and higher reimbursements. Provider analysis can also identify dentists who are over- or under-treating patients, putting the power in your hands to reduce and prevent fraud, waste, and abuse.
- Benefit Analysis. Aimed at optimizing overall benefit spend, this analysis examines the market- and plan-specific impact of best-practice strategies which drive cost savings, greater provider satisfaction, and improved employer group experience.
The Data-Driven Commercial Dental Market
Commercial payers are already elevating plan performance and profitability to new levels with data analytics. However, it takes more than financial performance for payers to grow their business and expand their member groups. A focus on all four objectives — reduced overall spend, improved provider performance, recognizing and rewarding quality providers, and improved member and employer group satisfaction — is required to develop and sustain competitive advantage. Payers that leverage data analytics to inform and implement strategy in all of these areas will position themselves to not just compete in the dental marketplace — but to win.
optimize plan performance with data analyticS
Learn more about how analytics tools paired with consulting expertise can save millions of dollars in benefit costs per year.