Did you know that your AMA policy will not be able to fully support you when you are unable to do your job? This policy has many pitfalls. Today, we are going to walk you though the AMA policy, so you can keep practicing without worrying about your future. As a Doctor, you are fully aware of the fact that becoming disabled in America today is very costly. You not only have to retain your standard of living but you also need money to pay your medical bills. How would you do that if your insurance has flaws and doesn’t support you completely in case of uncertain events? We have created this playlist of four videos to walk you through the pitfalls and help you understand the policy.
Pitfalls in the AMA Disability Insurance Policy [Part-1]
Pitfalls in the AMA Disability Insurance Policy [Part-2]
Pitfalls in the AMA Disability Insurance Policy [Part-3]
Pitfalls in the AMA Disability Insurance Policy [Part-4]
Doctors, Are You Still Carrying AMA Disability Insurance?
As an experienced and trusted advisor specializing in disability income for physicians, I have familiarity with the marketplace and all available insurance programs. I am passionate about educating medical professionals about their choices in this most important area of their financial lives. One thing I have learned from my many years in the field is that not all disability insurance policies are created equal.
I often sit down with doctors to review their current policies and discuss their income protection needs. Many docs have the group insurance policy offered by the American Medical Association (AMA), obtained while they were residents or given to them as an employer benefit. They believe that this policy will provide comprehensive coverage in the event they are injured or sick and cannot practice.
Sadly, it does not.
Doctor, your AMA plan is limited and restrictive in scope. Certainly, it will cover catastrophic illness or injury—that is, when you are totally disabled and incapacitated—but often leaves you exposed in instances when you are partially disabled. With the latter, you still may be physically able to carry out the duties and responsibilities of your practice. Or you may be trying to come back after a period of disability and make up the difference in lost income.
The AMA policy will not provide benefits unless the disability is total.
Additionally, we know that mental illness claims can be a gray issue for insurers. Your AMA group plan contains an exclusion for mental illness that goes beyond two years. In instances where, say, depression or dementia becomes chronic, even a total disability for life, your benefits under the AMA plan will be cut off after two years.
Another important aspect to consider is that the AMA can raise rates for coverage at its own discretion. Doctor, your AMA policy is subject to premium increases every five years. This can render the coverage cost-prohibitive for doctors once they hit, say, their mid-40s, which are prime income-earning years, and they often let the coverage lapse.
An individual noncancelable policy faithfully addresses each of these concerns. A private insurance carrier will provide benefits when you are unable to fulfill the duties and responsibilities of your “own occupation” or specialty. These policies recognize the subtleties of a partial disability and will provide benefits as you work part-time and try to replenish your earnings. Finally, your premiums are locked in and cannot be changed by the insurer. The carrier cannot cancel the policy for any reason except non-payment of premium.
Since 2003, I have been helping physicians protect their most valuable asset: their ability to earn an income. I have conversations every day with doctors like you who are focused on improving the lives of their patients, prolonging their careers, and providing
for their families. Many times I have to ask the tough question: “Doctor, what would happen if you woke up one day and could not physically practice medicine?”
Your AMA plan may be cost-effective (for now), but when it comes time to file a claim, it can leave you out in the cold.
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Our experienced advisors are able to answer all of your questions and help you along the way. We can customize a Disability Insurance policy to meet all of your needs and help you achieve full financial protection. Call us at +1 (847) 917-4870 or fill out our brief Contact Form to be assisted by an advisor directly for a free consultation.