Disability Insurance for Rheumatologists

Disability Can End Your Income

An accident or illness can cause a devastating setback on your career and render you unfit to practice your medical profession thereby leading to either partial or total loss of income. You need disability insurance to replace your lost income. Your insurer pays you a certain percentage of your current income continuously over a fixed period to help meet your financial needs.

Disability Causes Financial Hardship

Disability remains one of the major causes of poverty in the U.S. As revealed by Cornell University, an estimated 26.1% of disabled non-institutionalized persons aged 21–64 live below the poverty line. The reason for this is not far fetched, as there is a vast employment gap (35.9% vs 76.6%) between people with disabilities and people without disabilities. With a disability insurance policy, you can live above the poverty line with your monthly coverage.

Disability Causes Personal Bankruptcy

As revealed by HuffPost, 62% of personal bankruptcies filed in the U.S. are due to medical problems. Other factors on the list include job loss, and reduced income, which are part of the aftermath of disability. In addition, disability makes people forfeit assets they have spent all their lives working for when they lose their source of income. This can be avoided by having flexible disability insurance that will help you with your debts even when you can no longer work.

You Can’t Rely on Social Security

If you are banking on social security to cover you when disabled, you may want to reconsider that plan. According to the Council for Disability Awareness, in 2012, the average monthly benefit paid by SSDI is $1,130. Also, 65% of initial claim applications were denied by the organization. As a rheumatologist with dependent family members, how well can a little over $1,000 per month cover you if you become disabled? Having a disability insurance policy is the best form of protection when disability happens.

Group Disability Insurance

This is an employer-provided policy which you are likely to have already as a practicing rheumatologist. You can get the basic policy, which in most cases your employers pay the premium, or you buy an additional supplemental plan that will have the premium amount deducted from your salary. Group disability insurance is often the easiest and least expensive choice. However, it is the least reliable as it is not portable (tied to your employment), provides limited coverage and options, and may be taxed.

Disability Insurance through Medical Associations

Various medical associations in the U.S. have disability insurance plans for their members. The benefit payments t through this option is usually tax-free and it is portable. Also, it is usually tailored for medical practitioners and the premiums are highly favorable to every policyholder due to the purchasing power of the associations. However, just like group policy, association policy also offers limited options.

Individual Disability Insurance

An individually-purchased policy is the one you get directly from an insurance company or an insurance agent. It is usually the most expensive of the three options but it the most reliable. It allows flexibility and can be customized to meet your needs. The benefit payment from an individual disability insurance policy is not taxable provided you pay premiums with after-tax dollars.

The disability insurance definition varies among different insurers. However, you can decide to add as many exciting riders that will guarantee you and your family adequate protection. Some individual disability insurance policies provide coverage for several years, sometimes till your retirement age.

It is always advisable to buy an individual policy to complement your group or association plan so as to have enough protection.icon-us