Your weekly dose of wisdom from the Physicians Practice experts.
With all the useful information available on Physicians Practice, it is easy to become overwhelmed.
With this in mind, the tip of the week is a chance to reflect on some of the wisdom found all across the site. In the July 2021 slideshow on insurance coverage tips for physicians, Steven Podnos, MD, CFP writes the following:
The great basic tenet of insurance is to plan for the small possibility of a large loss. Here are some of my other insurance tips for doctors.
1). Self insure for a small losses by using high deductibles - Would you really care about or replace some of the jewelry on a personal floater policy?
2). If you have some savings, perhaps your disability insurance can have a longer elimination period - Optimally, a family should seek to accumulate enough assets such that disability and life insurance may not be necessary at all (one of the great strategies for avoiding whole life insurance).
3). One type of insurance that “pays off” by living a long life is longevity insurance - This is a relatively new concept in which you pay a premium now for a policy that will pay you a stream of income way into the future (for example, beginning at age 80).