Insuring a Dentists Hand.

[Tahoe Ray]

I sell for MoO but am allowed to contract out in certain circumstances like this.

From the censu between you two it looks like I'll have to contract with someone who offers a substantial amount more for DI.

The specialist produces 250G of revenue per month and he wants to insure himself against him not being able to do his job because of an injury with his hands (he already has life and critical illness on him). He's willing to pay a good amount premium to insure himself against the catastrophic loss of the specialist being unable to perform.

----------

Ray, what brokerage would that be?

I sent you a PM on the brokerage.

MoO is a solid blue collar product but for specialty docs, you need more carriers.

I still don't understand the hands thing...what if a nervous disorder causes a tremor? Hands are fine, but he can't do his job. Does the insurance pay?

Focus on the profession, not the body part. The definitions of disability will matter.

 

[pcbinsurance]

George Costanza should have insured his hands.

https://www.youtube.com/watch?v=BniKoHRlMi0

 

[scagnt83]

Guardian & Ameritas should be the first 2 carriers you look at. Both go well above $10k/m. Ameritas usually comes in cheaper and the policies are very similar, definition of disability is basically exactly the same.

For Lloyds it would actually be Petersen International Underwriters, which is a division of Lloyds. They do have a non-can last I checked but it was pricey. Only reason to use them is for out of the ordinary risks, old ages, or extremely high incomes (meaning $500k+).

And I agree with Ray, focus on the profession as a whole. What happens if he gets a disorder causing seizures? What if he looses an arm, or both arms? What if he looses his eyesight? 1001 things could happen other than hands...

 

[VolAgent]

I'm surprised no one has mentioned it, you should also look at a BOE policy as well.

Between the the DI and BOE, you are going to get a lot closer to that monthly 250k, although probably not all the way there.

 

[scagnt83]

I'm surprised no one has mentioned it, you should also look at a BOE policy as well.

Between the the DI and BOE, you are going to get a lot closer to that monthly 250k, although probably not all the way there.

OK. Going back and rereading the OPs second post here is the deal.

This guy is not looking for Income Replacement, he is looking for Revenue Replacement.

What he needs is a tiered approach:

BOE to cover contractually obligated expenses. This will ease his concerns about revenue replacement. It will let him continue paying bills/overhead that he will still be obligated to pay.


Then he needs Income Replacement on top of the BOE.
I have attached a pdf from Petersen that goes over insuring a high earning dentist.

Petersen actually has a specific High Limit Dental DI policy. You can layer it on top of a group DI and personal DI policy.
The idea is to have the group DI kick in first, usually at an earlier elim period. Then the personal DI policy kicks in to cover a larger amount of income (usually around the 90 or 180 day mark). After that the High Limit Dental DI kicks in (180 - 240 day mark) to cover close to 100% of income.


You might just want to go all Petersen Int on this one. They could do it all, plus put it all on a list bill and get a discount on the premium. The attached pdf would be a great presentation piece to use as a talking point with him.

 

[Frank956]

Thank you all for your help, I did not know these options existed.

 

[Cash]

OK. Going back and rereading the OPs second post here is the deal.

This guy is not looking for Income Replacement, he is looking for Revenue Replacement.

What he needs is a tiered approach:

BOE to cover contractually obligated expenses. This will ease his concerns about revenue replacement. It will let him continue paying bills/overhead that he will still be obligated to pay.


Then he needs Income Replacement on top of the BOE.
I have attached a pdf from Petersen that goes over insuring a high earning dentist.

Petersen actually has a specific High Limit Dental DI policy. You can layer it on top of a group DI and personal DI policy.
The idea is to have the group DI kick in first, usually at an earlier elim period. Then the personal DI policy kicks in to cover a larger amount of income (usually around the 90 or 180 day mark). After that the High Limit Dental DI kicks in (180 - 240 day mark) to cover close to 100% of income.


You might just want to go all Petersen Int on this one. They could do it all, plus put it all on a list bill and get a discount on the premium. The attached pdf would be a great presentation piece to use as a talking point with him.

Plus a Key Man DI policy on the specialist.

 

[scagnt83]

Plus a Key Man DI policy on the specialist.

You could.... especially if he is not the only shareholder.