Your PPO Write-Off is a Marketing Expense

This world is evolving, and we should evolve with it. Say “Goodbye” to PPO plans and bring new patients to your practice using Google organic results. This will save more than 40% of your profits that insurance providers silently steal!

PPO Plans are a Marketing Expense

Let’s say; in your town, for your skillset, you can charge $1000 for a crown. Your insurance provider might say you can only charge $800. Out of this $800, they will pay you $500 only. The difference between your Usual, Customary, and Reasonable fee, which is $1000, and the amount the insurance company pays you is your PPO write-off ($500 in this example). Technically, you have paid the PPO carrier $500 in exchange for this particular patient who came for a crown.

Knowing your PPO Write-off is a Game Changer

When you convert the percentage of PPO Write-off of your practice which is commonly between 45-55%, it shows you the exact amount of collections in dollars you lose to PPO plans regularly. Most dentists don’t realize this silent marketing fee as you don’t practically pay them this check in the typical sense. Yet, dental practices lose a massive chunk of profits every year. Studies show that a practice that has been around for 30 years has lost $10.5 million to insurance providers. Realizing this is very powerful as it opens your eyes to what changes you could make to lessen this amount. We have discussed how to calculate your PPO Write-off in our first episode. Click here to listen to Episode 1

Why are PPO practices that are dependent on PPOs 70% plus dependent on PPO?

When you and your team have gotten used to a particular process, you attract more of it. PPO patients always ask, “Does insurance cover it?” and you start wanting to do more procedures that are covered by insurance so that you can gain and retain your patients. Practices feel institutionalized by this common situation as insurance providers send the practice more and more PPO patients, and having new patients means more profits in the eyes of a practice owner. Yet, dentists don’t realize that these companies get almost 50% of their earnings in exchange for patients they send in. This way, practices get dependent on PPO. 

Why are PPO practices reluctant to get rid of PPO plans?

They have gotten used to working with PPO plans to the point that they fear what will happen if they suddenly decide to drop them. Will it affect the number of new patients coming in? Will they suffer loss? All these questions run through their mind, and as a result, they hold onto insurance plans for dear life. PPO plans have done a great job of brainwashing dentists into thinking they are the only option for dentists and that dentists can’t survive without them. Another critical reason practice owners are reluctant to give up these plans is due to social proof based on the idea of normative social influence. They believe if everyone around them is doing it, they should be doing it too.

Replace PPO plans with Google and save more than 40% of your collections that go into PPO plans

The director of Ekwa marketing, Lila Stone, provides free consultations into your practice where an entire expert team will analyze your social media presence for 6 hours before the meeting. During this consultation, Lila will explain where you’re excelling and where you’re not and provide a step-by-step guide on your new goals. If you stick to this plan, you’re sure to appear on the first page of Google while ranking for 100+ keywords within the first year itself!

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