The American Dental Association has asked the Wisconsin Office of the Commissioner of Insurance to evaluate the impact of Delta Dental of Wisconsin’s recent practice acquisition.
Five notes:
1. Delta Dental of Wisconsin announced in July that it purchased Cherry Tree Dental, a DSO with locations in Wisconsin, Illinois, Michigan and Minnesota.
2. In addition to the ADA, the acquisition has drawn concerns from the Wisconsin Dental Association, the American Economic Liberties Project and the Alliance of Independent Dentists.
3. A public hearing was also recently held by the commissioner’s office to discuss internal restructuring planned by Delta Dental of Wisconsin that requires the department’s approval. During the meeting, dentists shared that the acquisition makes them concerned for the integrity of oral healthcare in the state.
4. ADA leaders filed a letter with the commissioner’s office opposing the acquisition, citing potential conflicts of interest, patient care concerns, and concerns about market competition and access to proprietary information, according to a Nov. 10 news release.
“Permitting Delta to own a large Wisconsin dental practice, becoming both the claims payer and the employer of the healthcare providers submitting those claims, would make the situation much worse for oral healthcare in the state,” the ADA said in its letter.
5. The ADA also said that although Delta Dental’s proposed corporate reorganization aims to mitigate potential conflicts of interest, the group referred to the changes as “largely superficial,” and asked the commissioner’s office to evaluate the impact of the acquisition before giving its approval.
