If you are a CRNA in the marketplace for purchasing an individual disability insurance, chances are you are comparing individual policies to an association policy.
How can you compare the policies as closely as possible?
In general, individual policies tend to be more comprehensive since they individually underwrite policies. If you are healthy, this can work to your advantage as you are able to lock in your rates for the life of the policy.
If you are looking at an individual policy that is non-cancelable, the rates are locked in and guaranteed for the life of the policy (typically to age 65). This initial premium is based on your gender (unless you are obtaining unisex rates), benefit amount, riders on the policy and where you live at the time of purchase.
Rates on an association plan are based on your age at the time of purchase. These rates are NOT locked in and are NOT guaranteed. As you age, the premiums become more expensive. This is especially true if you reach a birthday that ends in the year 0.
The larger problem is that most CRNAs don’t discover this rate increase until they reach the age 50 bracket when their rates skyrocket. At this time, a lot of CRNAs seek private, individual insurance. However, this insurance is subject to medical underwriting. If there are any health issues, it may be difficult to qualify elsewhere.
The prudent action is to purchase a private, individual policy when you are young and healthy and lock in the premiums for your career.
To find out the premiums for a CRNA association policy, go to http://www.mydiplan.com/premiums/. To request a quote comparison, contact Set for Life Insurance today!
