Everyone knows that doctors are the go-to professionals when it comes to treating illnesses or injuries. However, people often forget that doctors are not immune to the very things they treat. Like the rest of the population, they can also contract life-threatening diseases or be involved in accidents—things that can jeopardize their ability to earn a living.
This is especially true for doctors who have their own practices. Oftentimes, illness or injury forces them to close shop, and when this happens, their family’s future consequently hangs in the balance. As such, experts recommend that doctors take advantage of income protection insurance.
This type of insurance functions similarly to disability benefits in that policyholders receive monetary support during the time they cannot work. With this safety net in place, out-of-commission doctors can receive 50-70% of their earnings so they can continue to live comfortably and pay for things such as mortgages and their children’s education.
Like other insurance policies, though, the payout can only be claimed once a certain length of time has passed. For insurance protection, this can be anywhere from 1-12 months, depending on the policy. The longer the “deferral” period, the lower the insurance premium that has to be paid.