Dental Insurance Market Outlook - 2031
The global dental insurance market size was valued at $152.26 billion in 2019 and is projected to reach $237.11 billion by 2027, growing at a CAGR of 10.7% from 2020 to 2027.
Dental insurance policy is designed to pay a portion of costs associated with treatment of dental conditions and preventive dental care. It helps in paying for unexpected dental emergencies that may be expensive to fix. In addition, Preferred Provider Organizations (PPO), Indemnity Plans, Dental Health Maintenance Organizations (DHMO), Direct Reimbursement, and Exclusive Provider Organizations (EPO) are several types of dental insurance coverages currently offered to individuals, families, and groups.
Increase in support from several governments globally, protection of dental insurers against fluctuations in revenues; prices and yields; and rise in awareness toward oral hygiene boost the dental insurance market growth. However, increase in advancements & developments of medicines for dental treatments and rise in convergence of dental insurance coverages in health insurance plans hamper the market growth.
Conversely, implementation of technologies to offer value added services to customers offer dental insurance providers with numerous opportunities. In addition, developing economies offer significant opportunities for insurers to expand their business by strengthening policies to support development of the dental insurance market. Furthermore, implementation of technologies can help insurers to enhance smooth claim process and avoid manual claim settlement processes, prevent insurance fraud, and derive over diagnosis & diagnostic errors. Therefore, these are some of factors expected to provide lucrative opportunities for the dental insurance providers during the forecast period.
Segment Review
The dental insurance market is segmented on the basis of coverage, procedure type, demographics, end user, and region. In terms of coverage, it is segmented into Dental Preferred Provider Organizations (DPPO), Dental Health Maintenance Organizations (DHMO), Dental Indemnity Plans, and others. Based on procedure type, it is segmented into major, basic, and preventive. On the basis of demographics, it is segmented into senior citizens, adults, and minors. By end user, it is bifurcated into individuals and corporates. Region wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The preventive segment dominated the dental insurance industry in 2019 and is projected to maintain its dominance during the forecast period. As it provides 100% dental insurance coverages, which are largely provided by general dentist & pediatric dentist and helps in reducing out-of-pocket costs for the dental treatment.
The report focuses on the growth prospects, restraints, and trends of the dental insurance market analysis. The study provides Porter’s five forces analysis to understand the impact of various factors such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the dental insurance market.
The report analysis profiles of key players operating in the market analysis include Aetna Inc., AFLAC INCORPORATED, Allianz, Ameritas, AXA, Cigna, Delta Dental, HDFC ERGO Health Insurance Ltd. (Apollo Munich), MetLife Services and Solutions, LLC, and United HealthCare Services, Inc. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.
By Coverage
Dental Preferred Provider Organizations (DPPO) segment is accounted for the highest revenue in 2019.
Top Impacting Factors
Increase in Awareness of Oral Hygiene
Rise in awareness toward oral hygiene, which has become one of the important aspects of human health, has resulted in a massive demand for dental hygiene. Therefore, owing to increase in use of oral hygiene services, demand for dental insurance coverages have increased, which propels the market growth. In addition, dental insurance covers numerous benefits including treatment of infected nerves, tooth removal, minor surgical procedures, and drainage of minor oral infections. Thus, owing to increase in dental treatments, awareness toward oral hygiene has tremendously increased, which, in turn, propels growth of the dental insurance market.
By Type
Preventive is projected as one of the most lucrative segments.
Rise in Government Support & Initiatives
With rise in support from several governments globally, protection of dental insurers against fluctuations in revenues, prices, and yields fuel growth of the dental insurance market. In addition, rise in initiatives and supports across several countries help insured to avail dental insurance coverages with more alternatives & customized options in the market. For instance, in India, the government has a scheme “Ayushman Bharat”, an initiative that covers dental insurance and aims at formalizing dental services with large population base in the country. Therefore, owing to increase in support & initiative by governments drive growth of the dental insurance market.
Implementation of Technologies in Existing Products Offerings
Dental insurance market has an immense opportunity to expand existing products line of dental coverages in the market. In addition, insurers provide value added services to their customers and expand product & service offerings by implementing technologies for insurance coverages. In addition, implementation of technologies can help enhance smooth claim process & avoid manual claim settlement processes, prevent insurance fraud, and derive over diagnosis & diagnostic errors. Therefore, expansion of existing products & services and implementation of technologies are expected to provide lucrative opportunities for dental insurance providers in the upcoming years.
By Region
North America is accounted for the highest revenue in 2019.
Report Coverage & Deliverables
The Dental Insurance Market report provides a thorough analysis of market dynamics, including global and regional market size estimates, growth forecasts, and key trends. It covers various types of dental insurance policies, demographic trends, and end-user applications. The report also includes insights into market drivers, challenges, and opportunities, with detailed analysis on strategic developments and competitive positioning.
Coverage Insights: Dental Insurance
The report explores different types of dental insurance coverage, including preventive, basic, and major procedures. It assesses the market for various insurance plans such as individual dental insurance, family plans, and employer-sponsored coverage, providing insights into their adoption rates and growth trends.
Procedure Type Insights
The dental insurance growth is driven by increasing demand for preventive care, restorative procedures, and orthodontics. The expansion of insurance plans that cover a broader range of procedures is contributing to market growth, as consumers seek comprehensive coverage for both routine and complex dental treatments.
Demographics Insights: The dental insurance share is influenced by demographics such as age, income level, and geographic location. Older adults and high-income families tend to have higher insurance coverage rates, while the share of dental insurance among younger populations and lower-income groups is increasing due to enhanced awareness and affordability initiatives.
End User Insights: Individuals, families, and businesses are the primary end users of dental insurance. The dental insurance value for individuals and families lies in its ability to offset the cost of routine check-ups, treatments, and emergency dental care. For businesses, offering dental insurance is a competitive advantage in employee benefits packages, enhancing overall workforce satisfaction and retention.
Regional Insights
North America: The U.S. and Canada lead in market value due to high adoption rates of comprehensive dental insurance plans and advanced dental care services.
Asia-Pacific: Rapid growth is observed in countries like China and India, driven by rising incomes and expanding access to dental care.
Key Companies & Market Share Insights
Leading companies in the dental insurance market include Delta Dental, MetLife, Aetna, Cigna, UnitedHealthcare, and Humana. These companies dominate the market with extensive coverage options and a wide customer base. They are focusing on expanding their services, leveraging technology to enhance customer experience, and developing innovative insurance plans to meet diverse needs.
Key Benefits for Stakeholders
- The study provides an in-depth analysis of the global dental insurance market share along with the current & future trends to elucidate the imminent investment pockets.
- Information about key drivers, restrains, and opportunities and their impact analysis on the market size is provided in the report.
- Porter’s five forces analysis illustrates the potency of the buyers and suppliers operating in the industry.
- An extensive analysis of the key segments of the industry helps to understand the global dental insurance market trends.
- The quantitative analysis of the global dental insurance market from 2020 to 2027 is provided to determine the market potential.
Dental Insurance Market Report Highlights
| Aspects | Details |
 By COVERAGE |
|
 By TYPE |
|
 By DEMOGRAPHICS |
|
 By END USER |
|
 By Region |
|
 Key Market Players | HDFC ERGO HEALTH INSURANCE LTD. (APOLLO MUNICH), .ALLIANZ, AMERITAS, UNITED HEALTHCARE SERVICES, INC., AETNA INC., .AFLAC INCORPORATED, METLIFE SERVICES AND SOLUTIONS, LLC, AXA, CIGNA, DELTA DENTAL |
Analyst Review
Dental insurance market providers are looking forward to expand their offerings and provide customized coverages for their customers. In addition, the products segment such as preferred provider organizations (PPO), dental health maintenance organizations (DHMO), and indemnity plans are largely purchased in the market. Therefore, insurers have lucrative opportunities to innovate their existing plans and expand their product offerings in the untapped potential of emerging economies. Nevertheless, a considerable number of companies remain under the perception that they have minimum dental insurance market exposure. However, this scenario is changing and 2019 has witnessed an increase in sales of dental insurance policies, owing to rise in adoption of technologies and increase in support from government schemes in the market.
The dental insurance market is fragmented with the presence of regional vendors such as Aetna Inc., Ameritas, Cigna, and Delta Dental. North America and Europe dominated the dental insurance market, in terms of revenue, in 2019 and are expected to remain dominant throughout the forecast period. However, Asia-Pacific is expected to experience significant growth in the future, owing to emerging economies, increase in awareness toward dental insurance, and adoption of technology services in dental insurance product lines. Furthermore, the dental insurance market is particularly brisk in countries such as China, Japan, India, Indonesia, Korea, Australia, Hong Kong, Taiwan, New Zealand, and Singapore with high GDP growth and rise in per capita income. Some of the key players profiled in the report include AFLAC INCORPORATED, Allianz, AXA, HDFC ERGO Health Insurance Ltd. (Apollo Munich), MetLife Services and Solutions, LLC, and United HealthCare Services, Inc.. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.
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