We have been with Delta Dental for employee dental benefits for over 14 years. In that time Shakopee has rarely seen any increases to premium rates, and any increases were minimal. During the recent annual benefit renewal meeting with our broker, NFP, we learned that Delta Dental has changed the method in which they review and renew client premium rates. This means that several of Delta's clients (not just Shakopee) are due to receive much more significant rate increases than what have typically been seen. 

Our Delta 2023 renewal rates came back at approximately 28% higher than our current rates. This is with no changes to the dental plan benefits as well. Because this was a significant increase Delta had provided us with a quote to move from our current fully-insured status to self-insured. Moving to self-insured was still quoted to be an increase to our dental rates of approximately 16%. Additionally- the self-insured option came with various changes to the plans. Most notable changes were a decrease to the annual maximum limit per person on certain networks, changes to the percentages of coverage on certain services and there would be an increase in plan administration on our end, moving to the self-insured option. 

Because neither renewal option provided by Delta was favorable, NFP issued a request for proposals on our behalf. Five carriers submitted proposals including: Delta Dental (the incumbent), HealthPartners, MetLife, Principal and SunLife. Delta did requote our coverage but still came back with a significant increase. HealthPartners quote was also higher than our current rates and had significant variations to the benefit plan and networks. 

The MetLife, Principal and SunLife quotes were all favorable with a decrease to rates. All quotes have slight variations to the benefit plan which is typical when switching carriers. When comparing all quotes we found MetLife to be the most favorable for several reasons. With MetLife our rates will decrease by approximately 5%. The decreased premium is valid until 12/31/2024 (two plan years). MetLife has also indicated that a renewal for 2025 would not exceed 6%. The actual benefits of the plan are very comparable to what employees currently receive with some slight changes in a couple areas.

The dental quotes and benefit levels from Delta and MetLife are attached for comparison. Overall, we feel that the benefits offered and rate decrease of MetLife is more advantageous to our employees than remaining with Delta Dental.