No occupation is without its risks, and the medical field is no exception. Life can be unpredictable as a practicing physician, making it all the more crucial for healthcare professionals to take appropriate steps to safeguard themselves, their business, and the patients who frequent their offices.
There are numerous disability insurance policies available that can help protect your physician practice from unexpected events and costs in both the immediate and unforeseeable future. In the event of an unanticipated injury or accident, it’s important that your practice is insured to remain financially secure and protect your hard-earned reputation.
Keep reading to learn more about the various insurance available to insure your physician practice.
3 Types of Insurance Policies for Practicing Physicians
As a physician, your practice is not only your livelihood; it’s the key to delivering quality patient care. Protecting your practice's financial stability is an essential part of your overall business strategy. Accidents and illnesses can happen unexpectedly, and without proper insurance coverage, many can find themselves facing financial burdens or significant loss of income. Protecting your practice with the proper insurance policy can ensure that your livelihood is protected at all costs.
There are many benefits of insuring your practice, including coverage for short-term disability benefits for those unable to work due to temporary illnesses or injuries. With the right coverage, temporarily disabled individuals may be eligible for disability benefits to cover their expenses during recovery, such as rent or mortgage, utilities, groceries, and other costs of living.
It can also provide long-term coverage (long-term disability benefits) in the event that a physician becomes totally or permanently disabled, in addition to covering the costs of a buyout if a partner becomes permanently disabled in the future.
Keep reading to learn 3 common insurance policies that can help safeguard your practice throughout life’s twists and turns.
1. Business Overhead Expense Insurance (BOE)
Business overhead expense insurance (BOE) is a type of disability insurance that provides coverage for a physician's day-to-day business expenses in the event of a disability. This coverage can equip owners to keep their practice running—even when they can't.
BOE pays for practice-related expenses, such as rent, employee wages, utility bills, and other overhead costs that are considered routine in day-to-day operations. This can equip your practice to continue running smoothly until the disabled partner returns or their share is sold and acts as a safeguard to ensure uninterrupted operation in unexpected circumstances.
For example, if a physician is unable to work due to an unexpected illness or injury, BOE insurance can cover the monthly payments required to cover office rent, employee salaries, and utility bills, allowing the practitioner to focus on recovering without the added stress of managing accruing financial burdens.
Overall, BOE insurance can safeguard the long-term financial stability of your physician's practice to ensure that your practice remains open and patients can continue receiving the care they need and deserve.
2. Physician Disability Insurance
In the medical industry, physician disability insurance can ensure that practicing physicians are protected in the event that they become disabled and are no longer able to work in their chosen field, but choose to work in another one. In these cases, the physician can collect full disability benefits.
3. Disability Buyout Insurance (DBO)
Insuring your practice with a disability buyout insurance policy (DBO) can provide crucial protection for the longevity of your practice. DBO coverage can fund a buy-sell agreement that allows remaining partners or shareholders to buy out a totally disabled owner or partner. This maximizes the financial return while taking care of the disabled partner's interest in the business.
As a physician, you have many patients depending on you for care. Fortunately, DBO insurance can protect both your practice and your patients in the unfortunate event that your livelihood is affected by unexpected illness or disability. If one partner becomes disabled, DBO insurance can facilitate the smooth transfer of ownership and prevent unnecessary financial burdens that may harm the business in the long run.
Attorneys That Specialize in Handling Your Disability Insurance Claims
As a law firm that specializes in helping people get disability benefits from insurance companies, our lawyers are experts in disability insurance.
Why Us?
- Every lawyer focuses on disability insurance claims, appeals, and lawsuits;
- We have a proven track record of success and have won major federal court disability lawsuits;
- We have recovered millions of dollars in disability benefits for clients across the country;
- Our disability lawyers have challenged every major insurance company and know their tactics.
With so much at stake, shouldn’t you have experienced disability lawyers on your side? Because federal law applies to most disability insurance claims, your disability lawyer does not have to be located in your state to help.
Call (800) 969-0488 or contact us online to speak with a disability insurance lawyer.
