Since 2020, the dental profession has experienced significantly higher inflationary pressure than the overall U.S. economy — and this has been severely compounded by flat or stagnant dental insurance reimbursement rates.
📈 Key Comparison: Dental Inflation vs. Overall CPI (2020–2025)
Metric | 2020 | 2023 | 2025 (est.) | % Change (2020–2025) |
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Overall CPI (U.S.) | 100 | 117.5 | ~122.5 | ~22.5% increase |
Dental Care CPI | 100 | 114 | ~121 | ~21% increase |
Dental Wages | Index = 100 | ~125 | ~135+ | ~35%+ increase |
Dental Supplies/Consumables | Index = 100 | ~130 | ~145 | ~45% increase |
Dental Equipment | Index = 100 | ~120 | ~130 | ~30% increase |
Insurance Reimbursements | Index = 100 | ~101–103 | ~102–105 | ~2–5% increase (if any) |
⚠️ Biggest Inflationary Disruptions in Dentistry
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Labor Costs
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Hygienist, assistant, and front office wages have jumped 30–40% or more in many markets due to shortages and competition.
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DSOs and hospitals have raised the wage floor, pressuring independent practices.
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Consumables & PPE
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Gloves, masks, sterilization pouches, etc. have doubled in price since 2020 in some cases.
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Disposables and infection control costs remain elevated post-COVID.
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Equipment & Tech
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A-dec chairs, CBCT units, CAD/CAM mills, and scanners have all increased 20–40% in cost, driven by supply chain issues and manufacturer pricing.
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Facility & Utilities
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Lease rates, buildouts, HVAC maintenance, and utilities have gone up 10–25%.
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🧮 But Insurance Reimbursements?
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Most major PPOs (Delta, MetLife, Cigna, Aetna, etc.) have:
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Not meaningfully increased fee schedules since 2020.
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In some cases, cut reimbursements or reduced coverage frequencies (e.g., fewer cleanings, downgraded procedures).
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This results in shrinking profit margins, especially for high-insurance-dependent dental offices.
🔍 Bottom Line
The dental profession is in a profit squeeze:
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Input costs (labor, supplies, capital investment) ↑
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Insurance reimbursement (revenue per procedure) ↔ or ↓
This is leading many practices to:
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Drop low-paying PPOs
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Raise UCR (usual/customary) fees
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Invest in membership plans (like LADD’s Dental One Discount Plan)
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Adopt tech like Overjet to boost diagnostic efficiency
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Shift toward fee-for-service and SureSmile/aligner cases
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