For any high earning professional, disability insurance is a cornerstone coverage. Disability insurance for nurse practitioners plays a huge role in protecting your income from sickness or injury. After spending years in training and education, don’t take a chance with your future earnings. Read on to find out what a nurse practitioner should know before purchasing disability insurance.
What to Expect – Disability Insurance for Nurse Practitioners
As mentioned in other articles on this site, disability insurance (or income protection insurance, as it is sometimes called) is priced using your age, your gender, your health and your occupation. Disability insurance for nurses is no different. Of course, premiums for these policies are commensurate with the size of your benefits as well.
The average age of a nurse practitioner in the United States is 45. The occupation is largely female, with women making up over 90% of the population. The average salary is almost $92,000.
Unlike other specialties in the nursing profession, disability insurance for nurse practitioners is unique.
For the large majority of these specialties, the disability insurance companies have the same occupation classes across the board. For nurse practitioners, the occupation class that you’re assigned (which directly affects the cost of your policy) can differ from carrier to carrier.
For ExampleA 45-year-old female looking for $4,000 in monthly benefits to age 65 (own occupation/residual benefits) will have a variety of companies to choose from. Company A lists her as a class “4”, while Company B lists her as a class “3”. Exact same occupation (I mean, we’re talking about the same person) but a different classification. Company A premium: $241 per month. Company B premium: $399 per month.
Occupation classes are occasionally reclassified and change with product updates and carrier underwriting guidelines. It is imperative to shop for your coverage from all of the major carriers, to make sure that you are getting the most benefit for your premium dollar.
What to Look For
The amount of schooling and the relatively high income made by nurse practitioners requires a specialized policy. Disability insurance for nurse practitioners normally has an “own-occupation” definition of disability in their policies.
That means that, if you’re unable to do YOUR JOB as a nurse practitioner, then you can make a claim on your disability insurance policy. The types of own-occupation vary from company to company (some allow you to work, some don’t; some let you make more money than you did before and still pay a benefit, some don’t) but having own-occupation coverage in some format for a specialized occupation such as a nurse practitioner is critical.
Summary
Designing the right disability insurance policy that fits an insured’s needs and goals is not a simple task.
Helping to purchase disability insurance for nurse practitioners is no different.
Disability insurance is primarily what we do. We specialize in this market due to its complexity and necessity. If you’re a nurse practitioner looking for disability insurance, then you’re in the right place. We provide expert, objective advice on purchasing disability insurance online. We’re here to help. Contact us today or simply complete the quote form on the left and we’ll be in touch.
