As a young physician, you know disability insurance is essential for protecting your income, but building smart, lasting protection isn’t always straightforward. Whether you’re buying your first policy or supplementing existing coverage, there’s a strategic way to maximize your benefits without overspending.
TMA Insurance Trust helps physicians at every career stage through a strategy known as stacking or laddering, which allows you to build comprehensive protection in stages, either by starting small and expanding over time or by adding to what you already have. It’s a smart way to secure reliable financial protection now and for the future.
Help Protect Your Financial Foundation Early in Your Career
If you are a young physician just starting out, you’ve likely been advised to establish your own disability coverage. Stacking can help set you up for long-term success. Here’s how TMA Insurance Trust can help you build better coverage:
- Start with a long-term disability policy that has a longer waiting period (e.g., 90 days) and provides coverage through retirement. This helps lower the initial cost.
- Add a short-term policy with a shorter waiting period to cover the gap until your long-term benefits kick in. This option is typically less costly than choosing a shorter waiting period on a long-term disability plan, helping you save while staying protected.
- Include a Future Increase Option with your plan, so as your income and financial responsibilities grow, you can increase your coverage without undergoing additional underwriting or medical exams. This is especially advantageous to members under 40.
How to Build Better Coverage
For physicians with employer-provided disability insurance, stacking helps fill critical gaps and overcome limitations. Instead of replacing your current policy, you can supplement it and maximize your total benefits without unnecessary extra costs. By coordinating multiple disability policies, you gain broader protection and avoid potential shortfalls. This approach is beneficial for several reasons:
- Cost control: Your original policy was likely purchased when you were younger and healthier, meaning you secured favorable rates that would be difficult and more expensive to obtain today.
- Flexibility: Most carriers have maximum monthly benefit limits that can be collected across all policies. Stacking allows you to reach the highest allowable benefit to better protect your growing income.
- Practicality: Supplementing your coverage is usually more affordable than replacing it entirely. Plus, with multiple policies, you can adjust over time, dropping some coverage as your savings grow, while keeping essential protection and saving on premiums.
For example, if your current policy provides a $10,000 monthly benefit but allows for a combined maximum of $30,000 or $35,000 across multiple policies, you can work with a TMA Insurance Trust advisor to add another policy that coordinates with your existing coverage, giving you stronger protection without starting from scratch.
By considering this approach, you keep your early-career costs down while maintaining the flexibility to scale your coverage later, even if your health changes. Stacking can also help you achieve more comprehensive protection right away by combining short-term and long-term disability policies. This ensures you’re covered from day one, without having to wait 90 days for benefits to begin, especially important if you haven’t yet built up enough sick days or savings. Whether you’re a new physician buying your first policy or someone with existing coverage looking to expand protection, stacking can be personalized to fit your unique needs at any stage of your career.
How Much of Your Income Is at Risk?
To determine how much of your income is currently unprotected through retirement, use our Disability Income Calculator to check if your current disability coverage is sufficient. Being proactive now can help you adapt to your changing circumstances and protect yourself from future financial vulnerability.
If you discover that you need more protection or would like more information, TMA Insurance Trust is here to help. Our experienced advisors work with leading disability insurance carriers and offer exclusive plans, some with member-only discounts and savings. Their advice and guidance are provided at no cost, with no obligation and no sales pressure.
Contact TMA Insurance Trust today at 800-880-8181, Monday through Friday from 8:00 AM to 5:00 PM CST, to explore your options and help protect your financial future and your peace of mind.
For over 70 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 quality insurance plans.
