Medical Resident Disability Insurance: Now or After Graduation?
Feb 9, 2015
Jamie Fleischner

Jamie Fleischner

9 Feb, 2015

Medical Resident Disability Insurance

Recently I was working with a medical resident in California with her disability insurance. She informed me that after she completes her training in June, she will be doing a fellowship in Massachusetts.

Set for Life Insurance has discounts at both hospitals. Should she buy her individual disability insurance policy now or wait until after graduation?

There were several reasons it made sense for her to wait until after graduation to purchase her new disability insurance policy.

1) Cost. She is a 30 year old doing a surgical residency. She is looking to purchase a policy with a true own occupation definition of disability, residual, 90 days to age 67, COLA cost of living and a noncancelable, guaranteed renewable clause. The cost per $1000/month benefit in California is $34/month. The cost for the same policy in Massachusetts is $44/month. That is a 29% difference.

2) California policies require a 2 year mental nervous limitation on their policies. Massachusetts does not have this limitation.

Since her policy will be adjustable, once she has a MA policy, her rates and policy provisions will set as such. If she ever decides to move back to California, she will still be paying at the MA rates.

It is better for her to purchase a Massachusetts policy for several reasons and to avoid purchasing a California policy.

If you are a medical resident looking for disability insurance,  talk to Set for Life Insurance prior to graduation and we can help evaluate your options for you and advise you on how to proceed.

Related Posts

Can A Disability Insurance Broker Help Me with My Claim?

Can A Disability Insurance Broker Help Me with My Claim?

Disability insurance claims Recently a potential client contacted me and asked me if I could help assist them in the future if they encountered a disability insurance claim. I explained to them how it worked. Brokers can listen to their clients and direct them to the...

We’re here to help

Getting the right disability insurance can be downright confusing. At Set For Life, we’ll help you understand the options and work with you to select just the right product for you and your family. These articles will help you understand some of the complexities involved, but we’re happy to walk you through it! If you’re ready to get set, reach out for a quote today!