HomeLearnWhy Do Physicians Buy Group LTD?

Building an Effective Plan Starts With Understanding Their Purchase “Why”

When recommending a group LTD plan that best fits a physician group, first uncover the reason WHY they are buying or have purchased in the past:

  1. Are they purchasing in order to check a box for group LTD employee benefits?
    OR
  2. Are they purchasing with an expectation that one day they will rely on policy benefits to protect their financial future and lifestyle?

While this may sound simplistic, clearly framing their purchase intent – why they buy – frames your subsequent cost/features tradeoff conversation. The unfortunate reality is that many physicians buy an employee benefits product expecting specialized coverage. Many are sadly disappointed by the disparity at claim time.

Make Sure They Get What They Pay For

Simply stated, in physician group LTD, the old adage that ‘you get what you pay for’ is especially relevant. Unfortunately, many physician groups go into the purchase with the ‘employee benefit checkbox’ mindset, but expecting their income to be protected. They don’t carefully study the benefits details. Too many are sadly surprised to learn of the serious holes in their coverage when a disability enters their lives.

At a high level, plan design and features fall into two basic camps based on the answer to the ‘why’ question.

Why-They-Buy-Final

Additional Employee Benefit Mindset Insights

Many group insurance carriers include a combination of return to work features and restrictions to get people off claim and help minimize the carrier’s risk. Benefits such as return to work incentives, reasonable accommodation, relocation assistance, and vocational rehabilitation are all designed to incentivize and motivate people back to work. If a Physician group is buying Group LTD with the expectation that they may need to rely on the coverage, these ‘return to work’ policies could create undue stress during claim time.

Maximum Income Protection

Physician groups who are serious about protecting income in the event of a disabling event need specialized protection that will deliver on their expectations at claim time. The MGIS/Sun Life solution can provide coverage that fits their specialized requirements, helps maximize needed benefits, and excludes many of the provisions designed to get people off claim rather than protecting income.

Starting with the ‘why’ question can help uncover their mindset and open the door for discussions that may highlight the realities of what they are paying for.

Group life and disability insurance policies are underwritten by Sun Life Assurance Company of Canada (Wellesley Hills, MA) in all states, except New York, under Policy Form Series 93P-LH, 07P-LH-PT/07C-LH-PT, 12-STDPort-C-01, 12-GP-01, and 12-DI-C-01. In New York, group life and disability insurance policies are underwritten by Sun Life and Health Insurance Company (U.S.) (Windsor, CT) under Policy Form Series 13-GP-LH-01, 13-LTD-C-01-MGIS, 13-STD-C-01-MGIS, 13-ADD-C-01-MGIS, 13-GP-LF-01, 13-LF-C-01-MGIS, 12-GPPort-01, 13-LFPort-C-01, 13-ADDPort-C-01 and 12-STDPort-C-01. The disability policies provide disability income insurance only. They do NOT provide basic hospital, basic medical, or major medical insurance as defined by the New York State Insurance Department. Administration for physician products is provided by Medical Group Insurance Services, Inc. (MGIS), in all states, except as follows: in CA by MGIS Insurance Agency, Inc.; in NY by MGIS Insurance Agency. Product offerings may not be available in all states and may vary depending on state laws and regulations. GGEL-PHY-490 SLPC2638202/15 (exp. 02/16)
This coverage does not constitute comprehensive health insurance (often referred to as “major medical coverage”) and does not satisfy the requirement for Minimum Essential Coverage under the Affordable Care Act.

Leave a Reply

Your email address will not be published. Required fields are marked *

sixteen + 8 =