A Tale of Two Doctors – and a Million Dollar Mistake

June 27, 2024April 19, 2015 by Justin Nabity

Why should you buy disability insurance before you start practice? To lock in potential income benefits you will never be eligible for again.

Yes, you can get a discounted rate for disability insurance as a resident, but the reason to buy now is much more than that.

Buying as much disability insurance as you can afford before starting practice is a strategic move many fail to see.

Making this move now as a resident or fellow accesses disability benefits you may never be eligible for again as a practicing physician.

This story of two residents’ choices shows you how and could save you $1 million.

The Importance of Life and Disability Insurance

June 27, 2024April 19, 2015 by Justin Nabity

It may seem like just another added expense to pay each month, but Life and Disability Insurance is a necessity for physicians. We all have a bit of “It will never happen to me” syndrome, but this is a case where it’s definitely better to be safe than sorry.

As a physician, you probably carry a hefty student loan balance (unless you’ve paid it off, in that case, congratulations). You also probably make more money than your spouse. If an accident happens and you’re disabled, any debt you have won’t just disappear – even though your income may.

Employment and Income Changes

February 2, 2022April 19, 2015 by Justin Nabity

When a doctor changes jobs or their income increases, their disability income protection plan may need to change. It is during this time that physicians should review their disability insurance plans to see how it is impacted.

In light of these changes, let’s take a look at the rules that govern how physicians can set up their disability insurance plan. For example, the monthly benefit amount doctors qualify for depends on the stage of their career.

New Employer Insurance Plans

June 27, 2024April 19, 2015 by Justin Nabity

Be prepared for the transition to a new employer by obtaining private disability insurance before the employer paid plan restricts what you can get.

Many employers have a standard benefits package that includes multiple insurance plans. Physicians who join new employers often don’t realize that the employer paid disability insurance plan can restrict what the doctor can obtain. Privately owned disability insurance plans that have been started before joining a new employer are not reduced by what the employer offers, but signing up for a private plan afterward may significantly reduce or prohibit the doctor’s ability to get a private plan altogether.

Physician Contracts, Disability Insurance and Investments

June 27, 2024April 19, 2015 by Justin Nabity

Contracts: Horrible Unexpected Results Of Casual Contracts

It’s tempting to trust your new employer and assume he or she has your best interests at heart. Employers are, after all, showing faith in you when they offer you a contract. However, it’s not uncommon for unexamined contracts to contain unintended pitfalls that make things go horribly wrong, sometimes long after you’ve been hired. That’s what happened to a physician in the Chicago area, as described in this article. How do you overcome contract dangers like this?