For an audio version of this post, please click on the speaker icon (top left).
Pattern, a proud sponsor of this blog, has been providing an educational series about Disability Insurance for physicians:
- 5 Things Physicians Need to Know About Disability Insurance
- The Different Types of Disability Insurance
- Why Is Disability Insurance Important For Doctors?
- Top Life & Disability Insurance Mistakes Physicians Need to Avoid
The following post is the next in this educational series.
When thinking of customization you think of cars, homes, your iPhone home screen.
Clearly, physician disability insurance policies are not the first thing to come to mind.
However, your policy is very customizable.
There are many important pieces of a policy that you can customize.
Here are 5 pieces we feel are MUST-HAVES on your disability insurance policy as a physician.
1. TRUE OWN OCCUPATION COVERAGE
If you take anything away from this article let it be this.
As a physician, surgeon, doctor, or any other medical professional, the single most important thing to secure is a true own-occupation disability insurance policy.
As a physician, you want the definition to be as broad as possible to cover any type of disability, as this is truly what you are paying for when you purchase disability insurance.
The best definition of disability is “own-occupation,” sometimes referred to as “true own-occupation.” It provides the strongest definition of disability and protection for physicians.
2. FUTURE PURCHASE OPTIONS
A future purchase option is an additional rider that you add to your policy.
This rider lets you keep the option to increase your benefit without having to worry about going through the process of getting a whole new policy.
We always recommend securing your physician disability insurance policy early in your career.
After you purchase your policy it is likely that your income will increase.
This is where the future purchase option comes in.
It allows you to increase your coverage, based on your increased income, without going through any medical underwriting. It basically guarantees you the right to increase your coverage regardless of what happens to your health over time.
3. RESIDUAL/PARTIAL BENEFITS
This rider allows you to receive a percentage of the benefit equal to the percentage of income you have lost from the partial disability In the case of an injury or illness that causes you to lose a significant amount of your income but does not meet the definition of disabled.
An example of this would be a urologist who has some type of cardiac event that makes him more easily fatigued.
He would still be able to perform all of his duties/procedures but may experience a reduction in the number of procedures or hours he can work.
It’s very important to note that statistically, more physicians receive benefit from residual/partial disability riders than from the base total disability benefit.
4. ENSURING YOUR POLICY IS NON-CANCELABLE
A non-cancelable policy means that the disability insurance company can not raise or change your premiums while you are still actively holding your policy.
This is an important detail that many medical professionals skim over.
In order to ensure your policy is non-cancelable, you must have a non-cancelable rider.
This ensures that your premiums will be locked in to help save you money in the future.
Sometimes the non-cancelable rider is included within your policy.
However, if it is not included you can add it on as a rider similar to must-have #2.
5. WORK WITH AN AGENT THAT UNDERSTANDS WHAT A PHYSICIAN NEEDS OUT OF THEIR POLICY
Many insurance providers and insurance agents do not understand the importance of physician disability insurance.
They also may not understand the key differences of a normal disability insurance policy compared to a medical professional disability insurance policy.
When looking for a disability insurance agent be sure that they specialize with medical professionals to ensure your policy is specific and fully comprehensive for you and your career.
Customizing your physician’s disability insurance policy can look different for every medical professional.
However, these 5 features are must-haves for you specifically as a physician.
If you are ready to get started with the best disability insurance policy for you, fill out a quote request with Pattern!
If you are in search of financial help, please consider enlisting the service of any of the sponsors of this blog who I feel are part of the “good guys and gals of finance.”
Even a steadfast DIY’er can sometimes gain benefit from the occasional professional input.
NOTE: The website XRAYVSN contains affiliate links and thus receives compensation whenever a purchase through these links is made (at no further cost to you). As an Amazon Associate I earn from qualifying purchases. Although these proceeds help keep this site going they do not have any bearing on the reviews of any products I endorse which are from my own honest experiences. Thank you- XRAYVSN