I cannot proceed with this article without
some personal background. Because
frankly, if you don’t understand the importance of protecting your ability to
earn money during your professional
career, then talking about insurance
doesn’t matter. You see, the most valuable asset I had, and that every professional has, is the ability to earn money
in their chosen profession.
After graduating dental school I started
my practice in Phoenix. We did well and
were saving some money. But due to
my previous health history (I was diagnosed with Crohn’s disease in college),
I was unable to get disability coverage. I
knew that even under the best of conditions, I was six months from bankruptcy,
if my income were to stop if I suffered a
disability. If I had a recurrence, how could
I support my family, save for my kids’
college, much less have the money to pay
on my office rent, equipment, salaries?
Because I was in remission for 15
years, I was finally approved for personal
disability insurance to help replace most
of my income if I couldn’t practice due
to a disability. I was also approved for
business overhead expense disability
insurance to help pay my covered office
expenses. A great weight was removed
from my back.
Five years later, I had a recurrence.
My doctor said I would do better without
the stress of running my practice. It was
time for me to speak to my insurance
Lawyers have always led the way with their clients on how to avoid legal
disasters. I want to talk to you today about applying this philosophy to
you, to prevent financial disasters.
JOHN M. DRISCOLL, PRESIDENT
JOHN DRISCOLL & COMPANY, INC.
5080 N. 40th Street, Suite 400, Phoenix, AZ 85018
(602) 957-7155, John_Driscoll@JDriscollCo.com
What Every Professional Needs
to Know About Personal
Disability Income Insurance
Ivan M. Kirshner, DDS*
Kirshner & Klarfeld Financial Group, LLC
He informed me that a large portion of
my income would be replaced, my practice could be sold for the full value,
and I could work in another occupation
if I wished, because of the true ‘
own-occupation’ definitions in my policy. At
age 44, I could make lemonade out of
I decided to enter the financial
services industry. I would talk to professionals about their retirement planning,
but insist on a ‘protection-first’ philosophy. Retirement and estate planning
unravel completely without the base of
the pyramid. When someone calls my
office because they have just had an
accident or diagnosis, that fact is put in
its proper perspective.
That was 21 years ago. I became
knowledgeable on disability insurance
by going through my own claim. Due to
that coverage, my kids completed college and I changed careers. So that is
where I am coming from.
Now let’s outline some key elements
in a personal disability insurance policy.
Each of these is a must, as far as I am
concerned. I urge you to look for an
insurance agent who specializes in disability income insurance for attorneys.
Some agents may mean well, but may
not understand the finer points as it
applies to a lawyer.
Features to look for:
n;Non-cancelable and Guaranteed
Renewable to age 65.
n;True Own-Occupation definition
of total disability.
n;Residual Disability coverage
n;The elimination period; almost
always 90 days. This is like a
n;The benefit period.
n;A future purchase option.
n;A Cost of Living Adjustment
n;A Social Insurance Substitute
In addition, the financial ratings of the
insurance company are critical, since
the guarantees of an insurance contract
are backed by the claims-paying ability
of the company.
My final advice: Your ability to work as
a lawyer is worth many millions of dollars, so look for a good, not an inexpensive policy. Find a way to pay for the
best policy you can get. Think about
what you pay a year to protect the value
of your car and your home. Consider
temporarily raising some deductibles
while keeping the maximum coverage in
place to help pay the disability premiums.
Registered Representative of Park Avenue Securities LLC (PAS), 5080 N. 40th Street, Suite #400,
Phoenix, AZ 85018. Securities products and services offered through PAS, (602) 957-7155.
Special Agent of The Guardian Life Insurance Company of America (Guardian), New York, NY. PAS
is an indirect, wholly owned subsidiary of Guardian. Kirshner & Klarfeld Financial Group, LLC is
not an affiliate or subsidiary of PAS or Guardian. PAS is a member FINRA, SIPC.
*Not practicing for Guardian or any subsidiaries or affiliates thereof.
The views and opinions expressed herein are solely that of the author and do not represent the
views or opinions of The Guardian Life Insurance Company of America, or its subsidiaries or
Taken from articles originally published in DentalTown.
2014-12049 Exp. 9/16