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California Law Changes the Way Dental Practices Get Paid

Starting January 1, 2027, California dental plans must honor patients’ assignment of benefits, allowing practices to receive insurance payments directly while increasing transparency around provider networks and out-of-pocket costs.

Are your patients tired of paying for treatment up front and then waiting to be reimbursed by their insurance company? Well, if you practice in California, that rigmarole is coming to an end. On January 1, 2027, dental plans must uphold a patient’s assignment of benefits, making sure that dental practices can obtain payment from the insurance company directly. This eliminates the need for patients to pay in full before they begin treatment.

Brought about by California Dental Association-supported legislation, AB 1629, it stipulates that patients be informed about whether a dental practice is in network and understand an estimate of out-of-pocket costs.

AB 1629 also gives state regulators the ability to review dental networks to ensure they have enough providers to adequately service patients. The bill was signed by California Governor Gavin Newsom in September. Click here to read more.

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