Question: Would you purchase insurance that protects just half of your house? What about half your car? Or your family?
Most likely you would not. So why would you settle for insurance coverage that might only protect half of your finances?
Two Kinds Of Insurance For More Protection
As an independent practice owner you know the value of disability insurance to help protect your personal income if you are ill or injured and cannot work. And while you are out, there is also Business Overhead Expense insurance to help pay the bills, maintain your staff and protect your practice from serious financial loss.
If you don’t have enough coverage with both kinds of insurance, your finances may only be “half-protected.”
A Disability Insurance Checkup
By this time in your career it’s likely that you have some disability insurance. Maybe you obtained it on your own long ago. Chances are, if you haven’t reviewed your coverage in a while you may have less protection than you thought you had.
Over time our lives change. Your income as well as your family have probably grown. If you were unable to work for a long period of time your current plan may not provide enough of a benefit to help cover your expenses and support your family’s quality of life today.
Close The Coverage Gap
It’s also possible that you may not be aware of certain limitations of disability insurance.
For example, there may be tax liabilities to consider. If you write off your premiums as a business expense, or if your premium is paid by the practice, there could be tax implications that could leave you with even less than you expected at a time when your family needs it most. (Please speak with a tax professional regarding your individual situation.)
Also, most carriers limit benefits to 65% of your salary. Would that be enough to cover your expenses? You might want to supplement your current plan to help close the coverage gap to more fully protect your finances and your family.
In addition to your personal income, think about what could happen to your practice if you were unable to work. How would your overhead expenses be paid? Who would care for your patients?
That’s where Business Overhead Expense insurance can help. It’s designed to help cover your expenses – or your share of expenses if you have partners – to help keep your practice running while you recover.
It can help pay for rent, salaries, taxes, utilities, office supplies, and more. It can even help pay for the cost of a replacement physician (locum tenens) to cover for you while you recuperate. Without sufficient funds to help cover these expenses the financial stability and long-term health of your practice could be seriously jeopardized.
Exclusive Plans For Members
As a TMA member you have access to exclusive opportunities for both disability insurance and Business Overhead Expense insurance plans.
One plan with exclusive member benefits is the TMA Member Long Term Disability plan issued by The Prudential Insurance Company of America. With its ease of application and attractive rates this plan can be a smart choice to supplement your current plan and close gaps in coverage.
TMA members can easily apply for a benefit of up to $4,000/month without having to qualify for coverage based on their income or take into account any other coverage they have. Members under age 55 can apply for up to a $10,000/month benefit with simplified underwriting – and up to $15,000 with additional underwriting.
Guardian Plan – With Up To 20% Lifetime Discount
Another exclusive member option is a disability plan from Guardian – a top-rated national carrier. TMA Insurance Trust has negotiated an exclusive 10% TMA member discount for all members on Guardian disability plans, and depending on the type of medicine you practice, some may be able to increase the total savings up to 20%.
Unlike some discount offers, this is not limited to a discount on the first year’s premiums. It is a permanent discount for the life of your policy.
Insurance For A Healthy Practice
The TMA Member Business Overhead Expense Insurance Plan is designed to help keep your practice up and running while you are out sick. Compared to many plans from other top-rated carriers, it offers value and affordability with features you may not find in other plans.
It can provide up to $1.2 million in benefits – with up to $50,000 in monthly benefits paid for up to 24 months. Many plans in Texas pay for only 12 months.
Plus, your benefit is paid for the waiting period – which means the plan will make the first payment retroactively after you have been disabled for 30 consecutive days. And you don’t pay premiums when you’re disabled – so there is no cost to you when you are out sick and receiving benefits.
Start A Conversation
Choosing the right plan, or plans, to protect your income and the financial well-being of your practice should involve careful consideration. So we encourage you to contact one of our advisors for a no-cost, no-obligation consultation.
They can provide quotes for multiple options from leading carriers and help you clearly compare plans on the basis of benefits, features and prices. Their goal is to help you find the very best options to meet your individual needs.
They do not work for sales-based commissions so the guidance you receive is always unbiased and pressure-free. To see how you can more fully protect the finances you work so hard for, call us today at 1-800-880-8181.
For over 60 years, TMA Insurance Trust advisors have been serving Texas physicians, their families and staff. TMA Insurance Trust prides itself on offering unbiased information and strategies to members, along with exclusive group rates on a range of the highest-rated plans in the industry.
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TMA Member Long Term Disability Plan and TMA Member Business Overhead Expense coverage are issued by The Prudential Insurance Company of America, Newark, NJ. The Booklet-certificate contains all details, including any policy exclusions, limitations and restrictions, which may apply. CA COA# 1179, NAIC #68241. Contract Series 83500.