Income Protection For Doctors

What is Income Protection Insurance?

Each year, over four million people miss work due to an injury or illness. The longer they are out of work, the longer they go without the income they expect, thus disrupting their lives and their families. And if you’re a practitioner, the chances of it happening to you are even greater. You have strenuous schedules, and work that is often more physically and mentally taxing than most occupations.

Why is Income Protection Important to Your Financial Plan?

Most of the Doctors we encounter are either uninsured or underinsured when it comes to protecting their income. Income is an integral part of any financial plan. Without adequate income protection, you are putting your future, and everything you’ve worked so hard to achieve at risk.

How Does Income Protection Insurance Work?

Income protection insurance is designed to provide monthly payments to help make up for lost income while you are out of work. And it will continue to pay a benefit until you can return to work, or, once you reach the end of your benefit period. Unfortunately, the benefits of income protection insurance don’t provide full income replacement. Your monthly payments may be as low as 50%-60% of your normal income.

Is Income Protection as important as Life Insurance?

Most financial advisors and wealth managers will agree that income protection is much more important than life insurance. Income is the foundation of any financial plan. It is designed to protect your most valuable asset … YOU, and your ability to earn a living! Without proper income protection, everything you have worked so hard to achieve is at risk.

What Is the Average Cost of Income Protection Insurance?

While the cost of income protection insurance varies by insurance carrier, you can always expect your annual income to impact the cost of the insurance. For example, the average cost is typically between two to three percent of your annual income. Age is one of the main factors that impacts the cost of your insurance. After all, older people are more likely to get sick or injured.