Why should medical residents and fellows consider purchasing their disability insurance prior to graduation?
It is inevitable that medical residents and physicians will purchase a disability policy. It is ideal to purchase prior to graduation. Disability insurance provides income protection in the event that a medical resident becomes unable to work due to an illness or injury. Since residents typically have a lower income compared to established physicians, the loss of income due to disability can have a significant financial impact. Having disability insurance ensures that residents can continue to meet their financial obligations, such as student loan repayments, living expenses, and saving for the future.
Early Purchase Advantage: Purchasing disability insurance during residency can offer several advantages. Insurance premiums are lower as you are younger and rates are based on age. Furthermore, if you are healthy, it is easier to acquire disability insurance at this time. , as they generally have better health and lower risk profiles.
Discounts. Medical residents may be eligible for discounted rates during residency. For some companies, the medical resident discount is deeper than other available discounts. Furthermore, once the discount is on the policy, it may apply to future purchases. As such, this could save you 15-20% on current and future premiums.
Guaranteed Standard Issue. Be sure to see if you have a guaranteed standard issue policy available to you. This will allow you to purchase a policy without any medical questions. This is especially favorable if you have a health condition. GSI policies are also discounted and offer future increase options.
In order to take advantage of GSI and medical resident discounts, applications must be submitted by June 30th.
For more information, contact Set for Life Insurance today!