Guardian and Principal have announced a new shared network agreement scheduled to take effect on December 1, 2025. Shared network agreements can change how dental practices are paid, sometimes without clear notice, making it important to understand whether action is required to avoid unintended participation or fee downgrades.
This page explains how the Guardian–Principal agreement works, who it applies to, and what steps dental practices may need to take.
What the Guardian–Principal Agreement Does
This shared network agreement allows Guardian and Principal to potentially recognize each other’s networks under certain conditions. Depending on a practice’s existing contracts, one carrier may begin paying under the other carrier’s fee schedule.
Whether this results in any change depends entirely on how the practice is currently contracted.
Situations Where No Action Is Required
No action is required if either of the following applies:
The practice has direct contracts with both Guardian and Principal
Direct contracts override shared network agreements.
The practice does not have a direct contract with either carrier and receives both through other shared network agreements.
In these scenarios, the new agreement does not change reimbursement.
Practices With a Direct Guardian Contract Only
If the practice has a direct contract with Guardian and is out of network with Principal, one of two outcomes applies:
If the practice does not mind Principal being picked up under Guardian fees
No action is required. Principal may automatically begin paying under Guardian’s fee schedule.
If the practice does not want Principal to be picked up under Guardian fees
The practice must opt out of the agreement with Guardian.
To opt out, practices must submit written notice to Guardian indicating they wish to opt out of the Guardian–Principal shared network agreement. The notice should include the practice’s tax ID, NPI, and identifying information. Follow-up confirmation is recommended to ensure the opt-out is processed.
Practices With a Direct Principal Contract Only
If the practice has a direct contract with Principal and is out of network with Guardian, the agreement works in reverse:
If the practice does not mind Guardian being picked up under Principal fees
No action is required.
If the practice does not want Guardian to be picked up under Principal fees
The practice must contact Principal to opt out of the agreement.
Opting out prevents Guardian from being added under Principal’s fee schedule and does not change the practice’s existing Principal contract.
Key Considerations
Shared network agreements are often reciprocal but not guaranteed
Opt-outs prevent unintended participation but do not terminate existing contracts
Failure to act may result in new in-network participation at unintended fee levels
Practices should review fee schedules carefully before allowing any new pickup.
Summary
The Guardian–Principal shared network agreement may result in new in-network participation depending on a practice’s existing contracts. Practices with direct contracts should review their situation carefully and submit opt-outs when necessary to avoid unintended reimbursement changes.
