What happens to a CRNA disability insurance who turns 50 when it comes to disability insurance? It turns out, quite a bit!
Age 50 seems to be the magic age when the CRNA association policy becomes very expensive.
CRNA Association disability insurance policies are age banded. This means that they change the rates on certain birthdays. Typically this means when you turn 30, 35, 40, 45 and 50 the rates increase. For CRNAs, the rates increase substantially when you turn 50. And, if you hold onto the policy, brace yourself for age 55 rates.
What can a CRNA do to prevent this sticker shock that occurs at age 50?
1) Awareness. The first step to being prepared is knowing that your association rates will climb and increase at certain birthdays. Many CRNAs purchase an association policy as it seems like a good deal at the time and they don’t give it much thought. If you know that the rate is going to increase in the future, it is a good idea to be prepared.
2) If you are healthy, lock in your rates elsewhere. The earlier you purchase an individual disability policy elsewhere, the lower rates you will pay over the course of your career. If your individual policy is noncancelable, guaranteed renewable, your rates are locked in. As such, they may be greater in the earlier years but if you calculate the premiums until age 65, you will come out ahead the earlier you lock in your rates.
3) Purchase an individual policy while you are younger and healthier. If you wait until age 50, chances are you may have health conditions that could preclude you from purchasing your own disability policy. Or, an individual policy may be issued with an exclusion on the policy. This could leave you stuck with a high premium with an association policy that could potentially become more and more expensive.
4) Discounts on disability insurance If you are affiliated with a hospital, chances are you are eligible for discounts available through Set for Life. These discounts range from 20-70%. The rates are both discounted and unisex. Since women typically pay twice as much as men for disability insurance, this reduces their rates by more than 50%.
For more information about CRNA disability insurance or to request a quote, contact Set for Life Insurance today!