Find the best AMA Disability Insurance for Doctors

Posted by Doctor Insurance Group, LLC on January 17th, 2019

Today insurance is a must.  Doctors, physicians, and surgeons can suffer from a disability. Traditional health insurance is important but it cannot cover everything especially when a doctor suffers disability and cannot practice. Disability Pro Own-Specialty Disability Insurance covers you both as a physician and medical specialist. It takes care of your income if you suffer disability and cannot work as a medical specialist so your family is protected.

How does disability policy work?

Disability insurance can be purchased as an individual or a group.  Individual insurance can be purchased from a local insurance agent. It can also be purchased from a company’s website or phone. Many insurance companies now offer disability insurance which is equal to 60% of the income earned. Group insurance is provided by an employer or can be individually purchased from a professional sponsoring association.

If an individual has a long term disability insurance available and changes employers, he will have the opportunity to supplement the disability insurance coverage. Once a disability policy is purchased it will not be affected by enrolling in a group LTD plan.  If there is no maximum benefit insurance policy then the individual might be prohibited by the strategy from increasing the individual policy. The benefits from disability insurance may be tax-free or taxable depending on who had paid the premiums.

Cost of disability insurance

There are a lot of factors that affect the cost of disability insurance. The premium is based on the age of the insured, monthly benefit, gender, and occupation. The insurance company will assign an occupational classification to the medical specialty on which the premium will depend and also the provisions of the policy which are made available to the insured.

Many experts feel that a medical specialty should cover 60-65% of the income after tax. This appears quite a straight forward calculation because a physician earning $ 300,000 per year would have a monthly income of ,000 a month. And his disability benefits would total to ,250 per month which would be equal to 65% of the gross income. In such cases, if the employer group purchases a group plan with a monthly benefit of ,000/-.the physician can take an individual plant with a monthly benefit of 6, 250. The total monthly benefit would be &16,250which would be quite sufficient. But since the employer paid the group coverage of ,000 the benefit would be taxable and the physician would get a net benefit of Rs 6000 so the total disability amount would be$ 12,250

Why doctors need disability insurance?

Disability insurance is very important for doctors as the term doctor cover a wide range of fields and they need disability insurance. In a doctor’s profession, the investment in education sacrifices present income for a potential return in the future. According to the Bureau of Labor Statistics, the median pay for surgeons and physicians is 8,000 which is a lot of money which they get only after an undergraduate degree. They spent 4 years in medical school and 7 years in residency where the earning is not much they also have to pay back the debt a decade down the line. So if they buy disability insurance when they are young the coverage is affordable.

Are you thinking of AMA disability insurance for doctors than visit Doctorinsurancegroup.com to find the best one for you.