WDIA: Having the Disability Insurance You Need at the Right Coverage Amount

Although Disability Insurance does not seem like a necessary expense compared to the mortgage on your home or your electric bill, it is still crucial to have disability insurance in force and in step with your needs. Disability protects your family and you if the worst should happen, but if you do not have policies that cover both personal and professional expenses and are at the needed coverage amounts, the gaps in coverage may cost you. 

The best way to protect yourself, your family and your practice is to make sure your insurance policies have the full protection you need. Ask yourself: how much money do I need on a monthly basis to pay all my personal expenses and for my practice to run effectively? If the amount you need is less than what you currently have in monthly benefit on your disability coverage or if you are not covered at all, then you will want to consider increasing your existing coverage and/or obtaining other types of disability coverage. 

Below are some important types of disability policies and how they protect you. Although each type provides coverage for a different aspect of your life, the benefits on each policy are triggered by you no longer being able to perform the duties of your profession. Having multiple policies at the correct coverage amounts ensure that every part of your life will be protected. 

Personal Disability (10% Discount for WSDA Members). Personal Disability is the most common type of disability coverage. Benefits from a Personal Disability policy are meant as personal income replacement to cover your loss of earned income if you become disabled. This coverage would be used to pay your home mortgage, water and electric bills, car payment, groceries, gas, children’s tuition: anything that your paycheck covers for your family. Without Personal Disability, all your monthly expenses would have to be paid from your savings.  

Overhead Expense (10% Discount for WSDA Members). Business Overhead Expense is specific to covering your business expenses if you become disabled. This coverage allows your business to continue to run while you are recovering from a disability or in the process of selling your practice. Expenses that are covered by this policy include: rent, staff salaries, electricity, dental supplies, janitorial and maintenance work, etc. Without Overhead Expense coverage, you may not be able to keep your business running while you are recovering from a disability. 

Business Loan Protection. Business Loan Protection specifically covers your mortgage or equipment loan payments to the bank if you become disabled. A practice loan is thousands of dollars per month and without Business Loan Protection, you would be paying for your loan out of your pocket. 

Although savings may cover the costs in one aspect of your life, it is unlikely that you would have enough funds to cover your personal and business expenses indefinitely. Washington Dentists’ Insurance Agency encourages dentists to acquire different types of disability insurance to ensure that all personal and professional expenses will be covered for the well being of themselves and their families.  

If you would like to review your current Disability Insurance or get quotes for additional coverage, please contact WDIA at 1-800-282-9342 or info@wdiains.com.