Disability Insurance with pre-existing conditions- MD Essentials

[Smackey]

So I am blessed with a condition that doesn't allow me to normally get insurance. I found this program about a year ago that is only for graduating residents/Students that doesn't care about preexisting conditions.

Does anyone have the MD Essentials Policy? http://mdessentialsprogram.com/residents/

It comes out at 173 a month for 5k a month in coverage, seems reasonable. Are there any other options at this point that anyone knows of?

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[The White Coat Investor]

So I am blessed with a condition that doesn't allow me to normally get insurance. I found this program about a year ago that is only for graduating residents/Students that doesn't care about preexisting conditions.

Does anyone have the MD Essentials Policy? http://mdessentialsprogram.com/residents/

It comes out at 173 a month for 5k a month in coverage, seems reasonable. Are there any other options at this point that anyone knows of?

It only seems reasonable when you don't know what most graduating residents pay for disability coverage. That said, if you have a policy that won't pay for X condition, and you become disabled because of X condition, you'll wish you'd gotten this one.

 

[ptarmigan]

It only seems reasonable when you don't know what most graduating residents pay for disability coverage. That said, if you have a policy that won't pay for X condition, and you become disabled because of X condition, you'll wish you'd gotten this one.

So what are graduating residents paying for disability insurance?

 

[Smackey]

So what are graduating residents paying for disability insurance?

I would also like to know that. Not that I can get what they are getting likely.

 

[Old_Mil]

While you shouldn't pay more than necessary, remember that insurance is only as good as the company's willingness to pay when a claim occurs. Find a good one that has covered a lot of physicians.

 

[tkim]

Before I graduated from residency 3 years ago, I had $5k/mo disability through Berkshire/Guardian for $481/mo. This was an own occupation, auto renew, non-cancel not requiring physical exam or underwriting.

There was no ability to increase it, so I wanted to shop around for increased coverage but I have a pre-existing condition that made it hella expensive or non-insurable.

I saw the Metlife Essentials program, and in small writing it said 'recent graduates' as qualifying without physical exam, so I enquired and was told I qualified despite being an attending. So I was able to get $5k/mo coverage for $264, so it was a no-brainer to dump the Guardian insurance, which I did.

However, I wanted more than $5k/mo coverage, so I had to undergo a physical exam and underwriting, and I was able to switch my Essentials policy to a standard Metlife policy for $8800/mo coverage for $587, the added benefit was that there was a 2 year cap on psychiatric coverage on the Essentials and with the standard policy there was not. I can be insane and have benefits forever if need be. I have the option of increasing my coverage further, but I'm not sure I want to, as even paying close to $600/mo now makes me cringe.

I'm sure there are cheaper plans, but medicine was a later second career for me, so I'm older, and I also have a pre-existing condition that would likely not qualify me for the cheaper rates anyway.

 

[dotcb]

The goal is to privately insure your entire or most of your take-home income in the event you become disabled.. Hopefully you are making more that $5K/month as an Attending. You should look into paying more for more coverage. Shop around. If you get used to an Attg salary, going down to 5K/mo will not seem acceptable. Remember, this is $$$ you need to be saving away for retirement, kids' college, etc. You need more coverage.

 

[FSU2013]

Holy cow, almost $500/mo as a resident?!?!?!

Before I graduated from residency 3 years ago, I had $5k/mo disability through Berkshire/Guardian for $481/mo. This was an own occupation, auto renew, non-cancel not requiring physical exam or underwriting.

There was no ability to increase it, so I wanted to shop around for increased coverage but I have a pre-existing condition that made it hella expensive or non-insurable.

I saw the Metlife Essentials program, and in small writing it said 'recent graduates' as qualifying without physical exam, so I enquired and was told I qualified despite being an attending. So I was able to get $5k/mo coverage for $264, so it was a no-brainer to dump the Guardian insurance, which I did.

However, I wanted more than $5k/mo coverage, so I had to undergo a physical exam and underwriting, and I was able to switch my Essentials policy to a standard Metlife policy for $8800/mo coverage for $587, the added benefit was that there was a 2 year cap on psychiatric coverage on the Essentials and with the standard policy there was not. I can be insane and have benefits forever if need be. I have the option of increasing my coverage further, but I'm not sure I want to, as even paying close to $600/mo now makes me cringe.

I'm sure there are cheaper plans, but medicine was a later second career for me, so I'm older, and I also have a pre-existing condition that would likely not qualify me for the cheaper rates anyway.

 

[jbar]

I think it depends on how likely you think it is that you will get disabled because of your condition. I have had some minor surgery, and my disability coverage just has a rider that says that they won't pay if I become disabled due to what I had surgery for (but I think it's unlikely that that will prevent me from working)

So you have to decide if you are going to be able to get/want a standard disability policy with a rider that covers your condition, or if you want a policy that covers everything (but will be much more expensive.)

Also be sure to get one that covers you for job specific ie you can't work as an EM attending you are covered. If I lost a hand I don't know that I could work as an EM attending (it makes intubating and central lines a bit tough). I'm covered under my policies but some policies would say "you aren't totally disabled, you could work as a doctor in an urgent care or switch to psych/radiology, so we aren't paying full disability."

 

[The White Coat Investor]

I would also like to know that. Not that I can get what they are getting likely.

To start with, they're getting a much more robust policy. I think I was getting a $3500 benefit as a resident for something like $120 a month. Less if I paid on an annual basis.

Disability insurance is all about the fine print. For example, for most specialties (including EM), this is actually only own-occ up until age 50. They didn't mention that I'll bet.

 

[tkim]

Holy cow, almost $500/mo as a resident?!?!?!

Actually, no - I got this insurance as I was graduating. And then a year later got the other insurance.

 

[EM2BE]

I keep trying to set up an additional disability policy. I'm still in residency and with pre-existing conditions that make people run or say they'll only cover me for anything new and nothing old. I am the only one in the residency that doesn't still get contacted by the old agent (hospital bought a different policy for us). I figure for now, I can't afford it, but after residency, I will definitely make sure I get something that covers everything. By the sounds of it, though, I will probably be at higher rates than you guys quoted.

This is a lesson to medical students: you do get older while in school and in residency. You never know what will happen through that time, even if you are healthy now. Get a policy while you are healthy - it will be much cheaper in the long run.

 

[tkim]

I keep trying to set up an additional disability policy. I'm still in residency and with pre-existing conditions that make people run or say they'll only cover me for anything new and nothing old. I am the only one in the residency that doesn't still get contacted by the old agent (hospital bought a different policy for us). I figure for now, I can't afford it, but after residency, I will definitely make sure I get something that covers everything. By the sounds of it, though, I will probably be at higher rates than you guys quoted.

This is a lesson to medical students: you do get older while in school and in residency. You never know what will happen through that time, even if you are healthy now. Get a policy while you are healthy - it will be much cheaper in the long run.

I would try the Essentials program as they don't require a physical exam or underwriting, and when you secure it, try to go for a standard policy with higher limits. I did it and feel much better about things.

 

[FSU2013]

So, is it safe to assume that people would recommend that residents get supplemental disability insurance above and beyond what residencies provide? My program provides something like 2/3rds salary, but I don't know (doubt) that it jumps to attending pay after the duration of the prospective residency.....

Thanks in advance.

 

[tkim]

So, is it safe to assume that people would recommend that residents get supplemental disability insurance above and beyond what residencies provide? My program provides something like 2/3rds salary, but I don't know (doubt) that it jumps to attending pay after the duration of the prospective residency.....

Thanks in advance.

It will cover what you currently make, not what you could potentially make. You have to show evidence of your income level in order to get coverage to that level. You should get the 5K/mo and then increase it when you graduate.

 

[EM2BE]

I would try the Essentials program as they don't require a physical exam or underwriting, and when you secure it, try to go for a standard policy with higher limits. I did it and feel much better about things.

Thanks. I'll definitely look into it. I am able to start moonlighting in July, so I will have the funds for it as well (to get what I should get, not just what I feel I can afford at the time). I really wish someone had a disability insurance discussion with us in medical school. I didn't come from a family who knew much about what is needed as well.

 

[FSU2013]

So.....anyone else thinking about applying for this?

 

[DocProtector]

The essential is an excellent program available to only last year residents or fellow. It is endorsed by the AMA and is written through a top notch carrier. Only selected agents like myself have access to it. In other words you must go through someone who has been approved to write it. It will go into effect on July 1, typically the last day of residency. This is a QUALITY POLICY. Not a group product. Please feel free to ask more about it... I am here to help.

 

[The White Coat Investor]

Upon further reflection, I believe this is a fairly solid MetLife individual policy. I was probably too negative about it above, mistaking it for something else. This is a good chance for someone with dangerous hobbies or ill health to get disability insurance at a good price.

 

[DocProtector]

To start with, they're getting a much more robust policy. I think I was getting a $3500 benefit as a resident for something like $120 a month. Less if I paid on an annual basis.

Disability insurance is all about the fine print. For example, for most specialties (including EM), this is actually only own-occ up until age 50. They didn't mention that I'll bet.

It does cover you as an EM all the way to age 65.

 

[tkim]

Upon further reflection, I believe this is a fairly solid MetLife individual policy. I was probably too negative about it above, mistaking it for something else. This is a good chance for someone with dangerous hobbies or ill health to get disability insurance at a good price.

http://whitecoatinvestor.com/disability-insurance-without-medical-underwriting/

 

[la gringa]

are there decent options for those of us who didn't get anything straight out of residency, then developed exclusions for standard policies 🙁

 

[DocProtector]

technically not. You may have the exclusion reviewed after a time period (typically 2 years with no treatment or follow ups) to see if the underwriter would consider taking it off?? But there is no guarantee they will. It really depends on the strength of your agent and if they are willing to go to work for you? That is what I do for my clients.

 

[la gringa]

i wasn't even offered an exclusion... just declined, which i didn't really understand.

 

[DocProtector]

So, is it safe to assume that people would recommend that residents get supplemental disability insurance above and beyond what residencies provide? My program provides something like 2/3rds salary, but I don't know (doubt) that it jumps to attending pay after the duration of the prospective residency.....

Thanks in advance.

You are correct about the group insurance. It will not increase when you become an attending even if you stay with the same institution. However, You may be give an additional policy however based on your new employment contract as an attending. But remember group policy's are no substitute for properly written professional contracts. I have written a number of blogs etc. relating to this subject if interested in reading please IM me and I will forward.

 

[The White Coat Investor]

technically not. You may have the exclusion reviewed after a time period (typically 2 years with no treatment or follow ups) to see if the underwriter would consider taking it off?? But there is no guarantee they will. It really depends on the strength of your agent and if they are willing to go to work for you? That is what I do for my clients.

Don't count on it. Why would they take it off? If you're not doing it any more or if it doesn't matter any more then why would you need the exclusion taken off? You wouldn't. You can threaten to take your business elsewhere, but the truth is you'll end up paying more for it to go somewhere else. They have you between a rock and a hard place with exclusions.

 

[DocProtector]

Don't count on it. Why would they take it off? If you're not doing it any more or if it doesn't matter any more then why would you need the exclusion taken off? You wouldn't. You can threaten to take your business elsewhere, but the truth is you'll end up paying more for it to go somewhere else. They have you between a rock and a hard place with exclusions.

Medical Exclusions... Not activities....