At its June 16, 2022 meeting, Council approved in principle changes to By-Law 18 regarding membership fees. The changes would result in a $485 fee increase for 2023 annual fees ($2,510 to $2,995). A considerable amount of due diligence and discussion led us to this conclusion.
We work in the public interest by putting patients first, setting and enforcing standards, and providing leadership and education to the dental profession. It is our responsibility to ensure we are fiscally sustainable for the long-term by adequately funding regulatory programs and meeting our financial obligations.
Professional Liability Program costs
The impact of COVID-19 has been significant to everyone in the profession—and at the College. Member fees were held flat for 2022, as a measure to provide relief during the pandemic. However, that is not a sustainable approach.
In 2021, PLP accounted for 31% of the College’s expenses. For the past 5 years, our biggest area of cost growth has been PLP. College staff work very hard to control budgets in all other areas of the College. However, we cannot control what happens with PLP. The increases are driven by external forces.
Costs to fund and manage the Professional Liability Program (PLP) have increased significantly over the past number of years, with member annual fees funding only a portion. The increase in PLP’s costs is a result of many factors, including:
- the increased costs of insurance;
- more serious claims with higher payouts; and
- actual payouts for claims being higher than expected
Comparison of malpractice liability costs
The College conducted a review and benchmarking exercise against other malpractice liability programs. We reviewed the other two national dental colleges that have a separate fee for their liability programs (Quebec and Alberta), CDSPI malpractice insurance which covers dentists in the other seven provinces where annual fees do not include the costs of liability programs, and an estimate provided by the College’s insurance broker, JDMI.
*Alberta figure includes College and Association fee.
Council reviewed the analysis and approved in principle an annual fee increase of $485 ($2,510 to $2,995). The fee increase would allow the College to:
- adequately fund PLP
- account for inflationary increases
- fund the College’s mandated regulatory requirements.
The increase would take effect for the 2023 license period, and be reflected in the renewal process that begins in the fall of 2022.
Additionally, Council suspended the Consumer Price Index (CPI) annual increase set out in By-Law 18.3.13.1 for the 2022 annual fee. Council plans to suspend the CPI increase once more for the 2023 annual fee (projected to be $175-$200), but intends to reinstate it for 2024.
In September, Council will consider and finalize approval of fee By-Law revisions following this circulation. The proposed amendments to By-Law 18 can be reviewed here.
