Delta Dental of Michigan

What it reported doing in 2024

Promoting Dental Care Delta Dental Plan of Michigan, Inc. is a leading prepaid dental benefits provider in the Midwest. The purpose of the organization is to advance and promote the improvement of oral health. This is done by offering innovative, cost-effective products that meet the needs of customers. This was demonstrated in 2024 by paying out over $887 million for dental care, by providing dental benefits for the public and advancing the science of dentistry. In addition, over 11.5 million claims were processed for over 6 million members. Cost Saving Strategies Delta Dental benefit plans are committed to saving groups and members money. The Delta Difference is an integration of activities; such as cost management policies, fee reduction agreements with dentists, and an anti-fraud hotline, put to work ensuring quality, cost effective dental benefit delivery. Commitment to the Community Delta Dental Plan of Michigan, Inc. believes advances in dental research and enhanced educational opportunities for dentists go a long way toward improving oral health. The company is a key player in groundbreaking research on trends in oral health in the insured population. The Delta Dental Fund, the company's philanthropic affiliate, encourages advances in dentistry and supports dental education and research. The Delta Dental Fund's total grants have now exceeded $68 million since its inception. This funding has improved oral and overall health and health equity, helped students achieve their goals, and improved the well-being of millions of children and adults in Michigan, Ohio, Indiana and North Carolina. Empowered people and communities are critical to making creative solutions to systemic challenges possible-and that means supporting work by and for the communities being served. The Delta Dental Fund is committed to continuing and establishing strong two-way relationships with the people and organizations aligned with its aims. In 2024, the DDF committed nearly $6.1 million in grants, scholarships, and educational resources, impacting more than 4.3 million lives in Michigan, Ohio, Indiana North Carolina and beyond. More than 354,000 educational brochures, flyers and posters, along with 351 miles of floss and 282,554 toothbrushes were donated to nonprofit organizations to disseminate in their communities. Delta Dental Plan of Michigan is also committed to building healthy, smart, vibrant communities. Delta Dental has always been keenly aware of its civic and social responsibility. Delta Dental Plans are proud to share, through direct financial contributions, with hundreds of community agencies and groups. In addition, employees log countless hours of their own time as volunteers. Community support generally falls under the broad categories that provide support to agencies and institutions serving children, seniors, low-income individuals, minorities, and the disabled and at-risk individuals, to organizations that promote education, arts and recreation and community development, and to charitable projects or programs recommended by employees, customers, participating dentists and other key groups. We continued our role as strong advocates for sound oral health policy at the state and federal levels. Through a public-private partnership with the Michigan Department of Community Health, Delta Dental participates in the Healthy Kids Dental (HKD) program. Healthy Kids Dental is a dental benefits program for Medicaid beneficiaries under age 21. It is available in all of Michigan's 83 counties and covers basic dental health benefits such as X-rays, cleanings, cavity fillings, root canals, tooth extractions and dentures. Nearly 1,000,000 Michigan children are served by this program. Unequaled Access to Dentists For five decades, Delta Dental has helped promote oral health by designing and administering innovative, cost-effective dental benefit programs. Experts at plan design, Delta Dental has created dental benefit programs that meet customer c

Financial Efficiency

• Mission deployment rate: 89.1%; rating input score 89
• Program expense ratio: 88.9%; rating input score 89
• Fundraising efficiency: Limited

Transparency & Controls

• Consistency checks: 100%; rating input score 100; 68th percentile among comparable filings
• Pay-setting controls: 4 of 6 controls in place; rating input score 67
  • Compensation committee: Pass
  • Independent consultant: Pass
  • Other Form 990s reviewed: Missing
  • Written employment contract: Missing
  • Compensation survey or study: Pass
  • Board or committee approval: Pass
• Foreign activity oversight: Limited
• Grant itemization coverage: 100%; rating input score 100; 77th percentile among comparable filings
• Major donor itemization: Limited
• Related-party transparency: Yes; rating input score 100

Accountability

• Independent voting board: 60%; rating input score 60; 16th percentile among comparable filings
• Governance controls: 9 of 9 controls in place; rating input score 100
  • Conflict-of-interest policy: Pass
  • Whistleblower policy: Pass
  • Document-retention policy: Pass
  • CEO compensation review process: Pass
  • Other executive compensation review process: Pass
  • Form 990 shared with the board: Pass
  • Board meeting minutes documented: Pass
  • Audit committee oversight: Pass
  • Independent financial-statement audit: Pass

Sustainability

• Operating margin: 0.5%; rating input score 34; 34th percentile among comparable filings
• Total-asset coverage ratio: 0.79; rating input score 31; 31st percentile among comparable filings
• Liabilities to assets ratio: 0.22; rating input score 65; 65th percentile among comparable filings
• Officer compensation ratio: 2.5%; rating input score 46; 46th percentile among comparable filings

Growth

• Program expense growth: -5.3% per year; rating input score 0; 2nd percentile among comparable filings
• Revenue growth: -1.9% per year; rating input score 0; 3rd percentile among comparable filings
• Asset growth: 5.7% per year; rating input score 100; 42nd percentile among comparable filings