While Castle had "never heard of direct reimbursement until one of our employees
dentist mentioned it," said Fred Gunderson, senior director of human resources at
According to Mr. Gunderson, White Castle decided to go with
DR after looking at numerous insured plans, which were deemed "very confusing,
difficult and costly, with too many conditions."
The company decided in favor of DR because of its ease
"in communicating it, in understanding it, in implementing it." Mr. Gunderson
added that he personally signed on for DR coverage. "It's another example of where a
company sat down and did its own research and determined that DR is the right thing for
them" he said.
CMH Regional Health System, Clinton Memorial
Clinton Memorial implemented a direct reimbursement (DR) dental plan effective January 1,
1999. They are the second major Clinton County (Ohio), employer to implement DR within the
past year. Liberty Capitol Savings Bank introduced DR to its 500 employees in early 1998.
Mary Ann Foland, benefits and compensation team leader at
Clinton Memorial said the change was made to strengthen CMH's benefit package. "Our
employees are vital to our continued success. We must be able to recruit and retain the
best, and a solid benefit package is an important part of a person's total
Foland explained, "We listened to the concerns that
our employees had with the more traditional plan that we had in place. Most of the
complaints centered around the feeling that they knew how the procedure would be paid,
only to learn that their particular procedure fell under one of the limitations or
Foland added, "We wanted more of the dollars spent on
dental to be returned to our employees instead of being spent to manage and administer
claims. We made a strategic decision to simplify our plan, contain costs, and provide a
better value to dental benefits to our employees"
City of Cary, North Carolina
"I've attached the financial report for your reference. As you can see, the
$16,027.34 savings is substantial and impressive. I determined that if we had remained
fully insured with our previous carrier, we would have paid approximately $25,000 more in
premiums than what was necessary to cover actual claims.
Thank you for your assistance and quality customer service
approach in our first year. Unfortunately, we have few reasons to contact you on any
regular basis because we never had any problems. I guess that's what happens when you are
kin to the "Maytag Man"."
Dale A. Johnson
What Employers Say About Direct Reimbursement
- "Why haven't I heard about this before?"
- "Best benefit we ever put in."
- "I think it means better dental care for the employee,
at less cost to the employer and less hassle for everybody."
- "We don't understand why every employer isn't using
- "Out of all the benefit we have put in, this one gets
the fewest complaints."
- "Our employees love the simplicity and really
appreciate this benefit."
Direct Reimbursement, Adm., Services, Ltd.
P.O. Box 292455
Kettering, OH 45429