The Canadian Dental Care Plan (CDCP) is now in effect filling the gap between those who have private coverage and those who don’t.
There is no doubt that dental care is a key aspect of overall health care. Yet, it has remained secondary to other heath issues, until more recent years. There was a time when the local blacksmith was the guy to see if you had a tooth ache since he had the best tools to pull the offending tooth. Children’s dental health wasn’t considered important since they were going to be losing their teeth anyway. In the early 1930’s, Sandy MacGregor, a young dentist (and amateur magician) opened the first practice in Canada dedicated to children’s dental care. Until well into the second half of the 20th century, dental care was an out-of-pocket expense. While the fluoridation of drinking water helped to prevent tooth decay among Canadians it was the rise of employee group benefits offering dental coverage that had the greatest impact on dental health. More people visited dentists than ever before. Now, fully 70% of Canadians access dental care with their benefits plan. This includes people of all income levels. However, there are still many without, most of whom are lower income earners. The government of Canada has now fully implemented the Canadian Dental Care Plan. The CDCP helps pay for dental care services for Canadians who qualify.
Canadian Dental Care Plan qualification criteria include:
- No access to a private insurance plan
- Net family income less than $90,000 annually
- Applicant and spouse/common-law-partner (if applicable) must have filed your tax returns in Canada so that your family income can be assessed for the previous year
- Canadian resident for tax purposes
Though the CDCP helps offset dental costs, helps is the operative word. For most families a co-payment of either 40% or 60% of what is charged by the dentist must be paid by the patient. In addition, CDCP won’t necessarily pay the full amount charged on individual procedures. Dentists generally base the fees they charge on the provincial fee guide. Maximums allowed on the CDCP are, in many cases lower. The patient makes up the difference. Though the CDCP can be a vital program to low-income earner with no access to a private dental plan, the CDCP, is no substitute for an employee group benefits plan and was never intended to be.
About 70% of Canadians have private health and dental coverage. Most employee benefit plans pay from 80 to 100% of the costs charged by a dentist and will, normally, pay at the level of the provincial fee guide. Opting out of an insured dental plan or not offering a plan to employees could create a financial burden for employees and their families, particularly those with a combined income in excess of $90.000.
The CDCP is, undoubtedly, a program that will improve the dental health of low-income families. It fills the gap between those with private coverage and those without. However, it does not replace the coverage provided by employee benefits. Please contact ASSOCIUM Benefits for details on the various dental plans we offer.