Are You Covered With Your Disability Insurance For Doctors?
Are You Really Covered by Your Disability Insurance?
On the surface, disability insurance for doctors can seem fairly straightforward: if you are injured or ill for a long period of time, you are covered, correct? Unfortunately, the answer is not a simple “yes” or “no.” While you are insured for a disability, you may not be completely covered. Make sure you know exactly what your disability insurance covers and what the terms of your plan are.
Short-Term Disability Insurance
Short-term disability insurance covers physicians for three to six months on average. This insurance plan is most often provided by employers. When used in conjunction with a long-term disability insurance plan, it can cover the expenses incurred during the waiting period of long-term disability insurance.
Long-term disability insurance:
Long-term disability insurance covers debilitating illnesses and disabilities over years or even decades. Some policies will pay out from the time of your initial claim until you retire. Not all businesses offer long-term disability insurance to their employees, and the coverage offered is often extremely inadequate.
Group coverage is typically offered by hospitals and large companies; it is relatively inexpensive or, in some cases, free for the company’s employees. However, with group coverage, not every illness or injury may be covered, benefits do not begin immediately, and are often capped at X dollars monthly (typically between $5,000 and $8,000).
When you opt for individual disability insurance, you get control of the premium cost, length of time between the onset of a disability and when benefits begin, and other factors. However, not all individual insurance coverage is equal. Some companies have exorbitant increases over time, or a limited definition of specialty insurance. There are three main types of coverage:
Any Occupation Disability Insurance
The claimant must not be able to perform any job in any capacity under this insurance plan. An insurance or vocational expert will consider the claimant’s rate of pay, physical capacity, level of education, skills, geographic region, and the performance of the labor market before determining whether benefits can be given.
Modified or Transitional Own Occupation Disability Insurance
Modified Own Occupation pays your full disability benefit should the insured suffer a disability that prevents them from performing the material and substantial duties of their own occupation, so long as they are not otherwise engaged in any other occupation for wage or profit. If they are engaged in another occupation and earning more than 20% of their prior earned income, then the disability benefit is reduced and eliminated by their income while working in another occupation.
True Own Specialty Disability Insurance
True Own Specialty disability insurance is defined as the insured’s inability to perform the material and substantial duties of their specialty. Should they be unable to work in their medical specialty regardless of their potential ability to work in another occupation, full benefits are paid. In addition, should they decide or elect to work in another occupation, they would still be considered to be totally disabled — regardless of the income they earn doing something else.
Take a look at your current disability insurance, and call Doctor Insurance Group at 800-997-0148 to discuss whether you are receiving adequate disability insurance for doctors coverage. Our team can compare your insurance with a host of others and recommend the best plan for you.
Don’t have Disability Insurance yet?