Annual Maximum Benefit

The annual maximum benefit of a dental insurance plan refers to the maximum amount in dollars that the insurance company will pay for a particular procedure, or for the entire plan. The annual maximum benefit restarts each year. The year can be a calendar year or the twelve months since the inception of the plan.

When choosing a dental insurance plan, it is important to check the annual maximum benefit carefully. You want to make sure you have enough coverage for the problems you might face each year. Whatever is not covered by the maximum annual benefit will be out of profit expense for you. If the annual maximum benefit is too low, you will be paying for insurance that is not useful.

It is also important to consider what the year is. If it is a calendar year, your annual maximum benefit will restart in January, even if you get the policy in November. This can be helpful to you if you know you are going to have an expensive dental procedure coming up. However, some insurance plans have a waiting period to avoid this kind of abuse of the system

More Terms Explained here