Disability insurance

[Dinkyconductor]

---

Members do not see this ad.

I'm about to graduate residency and start my private practice job, but I need to buy my own disability insurance (not provided by my group). Anyone have any thoughts or advice?

I've already had a policy throughout residency that I bought in the first year, they're now offering to let me continue this coverage (I think with increased premiums/increased coverage now that I am becoming an attending).

 

[BLADEMDA]

I'm about to graduate residency and start my private practice job, but I need to buy my own disability insurance (not provided by my group). Anyone have any thoughts or advice?

I've already had a policy throughout residency that I bought in the first year, they're now offering to let me continue this coverage (I think with increased premiums/increased coverage now that I am becoming an attending).

Buy the most amount of PERSONAL disability insurance you can. Your health is unlikely to get better as you age and your ability to obtain more insurance may not be as easy when you finally realize you should have more of it.

Blade

 

[Monty Python]

I'm about to graduate residency and start my private practice job, but I need to buy my own disability insurance (not provided by my group). Anyone have any thoughts or advice?

I've already had a policy throughout residency that I bought in the first year, they're now offering to let me continue this coverage (I think with increased premiums/increased coverage now that I am becoming an attending).

Buy your own through a major company, such as Paul Revere, Northwestern, etc. Do NOT deduct the premiums off your income tax ---- that way should you ever need the income from the policy it will be exempt from income tax. (If you deduct the premiums, then the proceeds would be taxable income).

Having said that, you'll need a policy which only replaces ~60% of your current income to maintain your current standard of living, since it will be 100% untaxed.

See if ASA offers an individual policy through their group membership and at group discount. AANA does and my individual policy (through them) has all the good features at considerable savings.

While it will make the policy a bit more expensive, give strong consideration to these features:

-- own occupation, meaning you can collect if you're unable to carry out the functions and duties of being an anesthesiologist. Without this clause they could deny payments as long as you could work as a physician doing xyz, much to your dismay. Actually, without this clause, as long as you're able to work doing anything to earn a paycheck (ie, mop floors), they can deny payment.

-- cost of living / inflation adjustment

-- option to periodically increase the basic benefit amount

-- rehab costs covered by the insurance company

-- no penalty if you're able to return to work part-time, but not full-time. You'll still collect the proceeds from the policy.

 

[mille125]

Buy your own through a major company, such as Paul Revere, Northwestern, etc. Do NOT deduct the premiums off your income tax ---- that way should you ever need the income from the policy it will be exempt from income tax. (If you deduct the premiums, then the proceeds would be taxable income).

Having said that, you'll need a policy which only replaces ~60% of your current income to maintain your current standard of living, since it will be 100% untaxed.

See if ASA offers an individual policy through their group membership and at group discount. AANA does and my individual policy (through them) has all the good features at considerable savings.

While it will make the policy a bit more expensive, give strong consideration to these features:

-- own occupation, meaning you can collect if you're unable to carry out the functions and duties of being an anesthesiologist. Without this clause they could deny payments as long as you could work as a physician doing xyz, much to your dismay. Actually, without this clause, as long as you're able to work doing anything to earn a paycheck (ie, mop floors), they can deny payment.

-- cost of living / inflation adjustment

-- option to periodically increase the basic benefit amount

-- rehab costs covered by the insurance company

-- no penalty if you're able to return to work part-time, but not full-time. You'll still collect the proceeds from the policy.

i agree with the above posts...as an anesthesiologist you will need a minimum of 10K/month (likely more)...this will run you between 1.3K to 4K per year....the cheaper policies have some limitations that you may or may not find acceptable...I would like it many companies.........As a young doctor you are far more likely to be affected by disability than loss of life...you should be prepared for it....one last thing, read the fine print and make sure that you are covered for viruses...many, many plans do not cover for viruses (imagine needle stick with HIV or Hep B patient)...good luck

 

[Monty Python]

Buy your own through a major company, such as Paul Revere, Northwestern, etc. Do NOT deduct the premiums off your income tax ---- that way should you ever need the income from the policy it will be exempt from income tax. (If you deduct the premiums, then the proceeds would be taxable income).

Having said that, you'll need a policy which only replaces ~60% of your current income to maintain your current standard of living, since it will be 100% untaxed.

See if ASA offers an individual policy through their group membership and at group discount. AANA does and my individual policy (through them) has all the good features at considerable savings.

While it will make the policy a bit more expensive, give strong consideration to these features:

-- own occupation, meaning you can collect if you're unable to carry out the functions and duties of being an anesthesiologist. Without this clause they could deny payments as long as you could work as a physician doing xyz, much to your dismay. Actually, without this clause, as long as you're able to work doing anything to earn a paycheck (ie, mop floors), they can deny payment.

-- cost of living / inflation adjustment

-- option to periodically increase the basic benefit amount

-- rehab costs covered by the insurance company

-- no penalty if you're able to return to work part-time, but not full-time. You'll still collect the proceeds from the policy.

In addition to the above, look for a policy which is non-cancellable and guaranteed renewable.

 

[ReefTiger]

should I get dis. insurance before finishing residency? It's a little cost prohibitive right now.

what adv/disadv are there to getting a policy prior to finishing?

Besides the obvious fact I'd be covered, of course.

 

[BLADEMDA]

should I get dis. insurance before finishing residency? It's a little cost prohibitive right now.

what adv/disadv are there to getting a policy prior to finishing?

Besides the obvious fact I'd be covered, of course.

In your last year of training you should begin looking at policies from different companies. Since your income level is lower than where it will be in 3-4 years I recommend getting the biggest policy allowed by the insurance company.

For those of you "cash strapped" buy the policy one or two months before getting your real job. This allows you to afford the best possible policy.
Don't be shy about calling two agents so you can compare policies from different companies (usually one or two good agents are enough).

Blade