Medical residents looking for individual disability insurance should make sure their policies include the residual rider.
Without the residual rider, the contract is a total disability definition. This means that they would still be covered in their specialty, but would not be able to work elsewhere.
The residual rider covers partial disabilities. The riders vary from company to company and will pay benefits if there is a 15-20% or more loss of income. The policy would pay that portion of the benefit. For example, if you had a 50% loss of income, the policy would pay you 50% of your benefit. Companies usually like to look at residual riders on a month to month basis.
Not all residual riders are alike. Some offer coverage for recovery–for when you go back to work. Others only offer a basic residual where there are no benefits if you go back to work.
Most companies will pay full benefits if you have a 75% or more loss of income.
For more information about disability insurance for medical residents, to learn more about the residual rider or to request a quote comparison, contact Set for Life Insurance today!
