Physician’s Disability Insurance IQ:

The Triple-R Foundation for Strong Disability Coverage

If you’re a physician, protecting your most valuable asset – your ability to earn an income – is vitally important. When you shop for a disability policy, make sure to secure protection that includes the Triple-R foundation—residual, recovery and rehabilitation.

These benefits can be found in any quality disability income policy. Basic policies include coverage that pays a percentage of a physician’s pre-disability earnings, which is typically 60 to 70 percent, for the entire duration of a sickness or injury after a waiting period.

Residual Disability Benefits

Between the ages of 35 and 65, one in three doctors will suffer from a long-term disability, according to a recent issue of Medical Economics. Though it is hard to say how long a disabled physician will be unable to work, medical advances have greatly reduced the amount of time many people are considered “totally disabled.” Chances are, a physician will progress from total to partial disability quite quickly and will soon return to work, but perhaps not full time.

In these cases, good benefits are crucial. With residual coverage, an injured physician receives benefits proportionate to his income lost because of the newly reduced schedule.

Recovery Disability Benefits

Despite achieving a full recovery, a physician may find that his ability to earn his previous income has lessened. For example, if absent due to an illness or injury for a significant length of time, a physician risks losing his client base. If a doctor works on a fee-for-service basis, this could be fiscally devastating.

However, if the physician has recovery benefits, they would kick in and pay a partial benefit proportionate to the loss of income. This would give the physician time to seek out new clients and referrals and rebuild lost contacts.

Rehabilitation Disability Benefits

Once disabled, there is a possibility that a physician is not able to return to his chosen medical field. For this circumstance, vocation rehabilitation services are invaluable. The physician will need to explore a different medical specialty or a whole new occupation. This is when an insurance carrier that employs its own staff or rehabilitation specialists is beneficial. By working with the specialists, the physician will get professional help finding new work in his area of expertise.

Rather than focusing on a perpetuating disability, residual, recovery and rehabilitation benefits concentrate on ability. Therefore, the Triple-R foundation is vital to any physician’s income protection strategy.