Rate stability guarantee
Loyalty has its rewards at Delta Dental of South Dakota
We believe great partnerships should be rewarded. That's why we have a unique rate stability program for our group plan clients.
Delta Dental of South Dakota limits annual rate increases to no more than 10% at any renewal. And the longer you’re with us, the lower your potential rate increase. For every 5 continuous years with Delta Dental of South Dakota, the maximum possible rate increase gets lower.
| Continuous plan years | Maximum annual rate increase* |
|---|---|
| First 5 Years | 10% |
| 6-10 Years | 9% |
| 11-15 Years | 8% |
| 16-20 Years | 7% |
| 21-25 Years | 6% |
| 26+ Years | 5% |
* Costs related to changes in benefit design or employee contributions will be rated separately and could impact final rates.
Rate guarantee does not apply if claims ratio for the last two years exceeds 110%. Then the maximum rate increase defaults to 10% in any given year. The claims ratio is calculated by dividing the total amount of claims paid by Delta Dental by the total amount of premiums earned during that same period.
Note: If a group leaves Delta Dental of South Dakota, the credited years will start over. If a group leaves more than once, there will be no rate stability guarantee until completing five continuous years.