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New DI Benefits for Physicians and Dentists

Business Overhead Expense (BOE) Disability Insurance is a cornerstone of a well-managed corporate financial plan. The coverage financially indemnifies the regular monthly overhead of a company in case of the partial or total disablement of the business owner.

BOE coverage allows a business to stay afloat while the owner is on the mend with the goal of getting him/her back to work.

Most plans provide 12 to 24 months of benefit after a short elimination period which can be the saving grace of business owners whose firms employ fewer than 50 employees. BOE plans are important insurances for small to medium business owners along most industry lines. However, there is a concentration of this type of coverage among medical and dental practices in the United States.
 
Physicians and Dentists find BOE coverage imperative due to the operational nature of their firms which have disproportionately-high monthly overhead expenses. Their overhead includes expensive equipment loans and professional staffing costs that most small businesses don’t usually encounter.
 
A common shortcoming of most BOE disability plans is that coverage excludes the salary of any employee with the same profession as the insured person. For physician and dental practices, this means that salaries of any other doctor or dentist on the owner’s payroll will not be covered even if the medical or dental professional is an employee.
 
We can provide a brilliant solution that will change the coverage scope of most physician/dentist BOE policies.
 
Now available is a Salary Replacement Benefit Rider which, in addition to the monthly overhead benefit, pays the monthly salary of the business owner’s replacement while the owner is disabled. The rider is an incredible benefit for your physician and dentist clientele as it allows all expenses to be covered as the business runs normally under the watchful eye of the replacement before the owner is able to return to work.
 
Hopefully you recognize how amazing this scenario is. The BOE policy, with the Salary Replacement Benefit Rider, covers the overhead as well as the salary of a replacement professional, allowing the business to run without the overhead costs. This translates into extra income for your client while he/she is disabled. Technically, if your client has personal DI in place in addition to the BOE plan, he/she could earn more while disabled than while at work!
 
Please contact your Disability Income Specialist to learn more bout the extra benefits of our Business Overhead Expense Insurance.
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Insurance Solutions For The Cannabis Industry: A Game-Changer For Agents

The cannabis industry is thriving — but when it comes to insurance, many carriers are still stuck at a red light. Federal restrictions have kept most life insurance companies from offering coverage to cannabis-related businesses.

Even forward-thinking markets like Lloyd’s have opted out, leaving dispensaries, cultivators, manufacturers, and testing labs without essential protection.

That’s where you come in.

We have teamed up with a Specialty Marketer to deliver exclusive, federally compliant insurance solutions tailored specifically for clients in the cannabis space. For agents, this opens the door to a high-growth market with minimal competition.

What’s Now Available:
  • Key Person Life Insurance
  • Key Person Disability Insurance
  • Buy/Sell Agreement Coverage
  • Business Loan Indemnification

All policies are simplified issue — no medical exams, bloodwork, or urinalysis required. That means faster underwriting, quicker approvals, and smoother closes for clients working under tight investment or lending timelines.

Bonus Advantage: Credit Card Payments

Cannabis businesses often face hurdles with traditional banking. Here’s a game-changer: premiums can be paid by credit card — a major win for clients navigating financial restrictions.

Why This Matters

This program gives you a competitive edge in a booming industry with limited insurance options. If you have clients in — or connected to — the cannabis space, now’s the time to offer real protection while growing your own book of business.

Ready to get started? Contact your DI Representative today and learn how to write smarter policies for this under-served, high-potential niche.

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Target The Easy DI Sale

We often hear advisors mention they don’t offer Individual Disability Insurance policies because their client base already has protection through an employer plan. While many advisors may choose to move on to another aspect of the client’s financial picture, it’s the experienced advisor that sees the true opportunity.

We’ve always found it easiest to present to clients who already own a DI policy. If the client is covered by a plan at work, they already know the importance of having a plan designed to protect their paycheck.

They recognize the value of the added benefit provided by their employer, but typically aren’t aware of the short comings of a group plan such as direct-integration, taxable benefits, and lack of portability. However, the existing employer plan serves as an excellent starting point to introduce the subject of proper income protection.
 
For those clients with existing coverage, commend them for having an existing plan in place. Then offer to review the plan to determine if it’s providing the necessary coverage it’s designed to provide by asking for a declaration page of their existing policy. With the policy declaration page and some basic client information, we can conduct a complete policy review showing the client’s current protection along with any recommended changes.
 
EXAMPLE:
 
Client: Male, 40
Occupation: Executive
Income: 100k with 25k in bonus
Current Coverage: 60% of Salary with a 10k Cap
 
Current Coverage: $5,000 per month (taxable)
Additional Coverage Available: $3,300 per month (non-taxable)
Underwriting: Just completed Application Part A and B. No Exam, Labs, or Tax Returns needed
 
If you want to target an easy Disability Insurance (DI) sale – the DI review is the easiest way to immediately increase your disability sales – work with your existing book of business to provide proper income protection. To learn how to best incorporate this strategy into your sales activity, contact your DI Sales Rep today.
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The Art Of Selling DI

Selling an Income Protection Insurance policy can be challenging, especially when your clients become overwhelmed with the terminology and options available.
 
Often times your prospects don’t know the criteria for the policy that suits their needs. It is your job to help them find the best fit while making the purchasing process as comfortable as possible.
 
Many producers feel it is necessary to discuss the intricate and sometimes confusing details of the Disability Insurance policy’s terms with their prospective clients before addressing the main requirements, causing them to lose the sale.

It is important to help prospects identify their most important criteria and simplify the purchasing process for them. Remind them to look at the big picture.

How can you help simplify this process?
Start by asking some of the following questions:
 
  • How much monthly income would you need to meet your financial obligations if you got sick or hurt and could not work?
  • Will you need to increase the policy’s monthly benefits in the future?
  • What is your budget for your Income Protection Plan?
  • Would you work in a different occupation if you were unable to do your occupation? Or would you wait to get well enough to get back to your job? (even Part-Time)
  • Do you have any medical conditions that might preclude you from purchasing Disability Insurance at this time?
Remember to listen carefully as it is your job to make the decision process simple and manageable for your clients.
 
If you would like to learn more about Disability Income or need prospecting tips contact your Disability Income Specialist today.
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Generating Sales With A DI Benefit Review

Are you looking to increase your personal production and income? One straightforward way to generate additional sales with existing clients is to offer a Disability Income Benefit Review.

Many clients already have group Long-Term Disability (LTD) benefits in place, but are unaware of the potential gaps in coverage that Group Plans create.

Questions Advisors Should Never Over Look During A DI Benefit Review:
  • How long must the client wait before collecting Group LTD insurance benefits?
  • What percentage of pay (if any) will they receive during the waiting period?
  • If partial benefits are provided, do they have to be totally disabled during the waiting period?
  • What percentage of their pay will they receive from this benefit?
  • What is the maximum monthly benefit?
  • Is bonus income or incentive pay covered?
  • How long are benefits payable?
  • Will the plan pay benefits if they are working at a reduced capacity?
  • To what extent will their benefit be taxed?
  • To what extent will they be responsible for medical insurance premiums and other benefits previously provided by my employer?
  • Will the benefits be adjusted for cost of living increases?
  • Can they retain the coverage should they change employers?
With answers to these questions, we can show you how to address the existing gaps in your clients’ coverage, while generating increased earning potential for you.
 
Contact your DI Sales & Marketing Manager for tips on how to incorporate these questions into your existing client review process.
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Income Protection – The Time Is Now

When is the best time to buy an income protection plan? The answer is – right now. It should be done before any health challenges arise that preclude prospects from getting this valuable coverage, or the premium becomes too expensive due to older ages.

Start the conversation with young couples, ages 25 to 45 – they are the top prospects for income protection. They’re purchasing homes and starting families – it’s an ideal time to build a foundation of financial protection.

Individuals in this age group still have a lifetime of earning potential. Income is their most important asset, as their lifestyle and long-term financial plans depend on it.

A 40-year-old earning in $100k annually will earn approx. $4,070,963 by age 67 with a minimal 3% annual increase. Many would agree that’s an asset worth protecting.

Remind clients how long it took to build their current savings and retirement funds – assets that can be swiftly impacted and depleted due to an illness or injury that prevents them from returning to work in a timely fashion.
 
While single, full-time wage earners, new home owners, and families just starting out are top prospects – don’t forget about your current life insurance holders, and auto policy owners with higher limits.
 
Talking Points:
  • Explain what’s at risk – a lifetime of earning potentially lost due to an illness or injury. (www.whatsmyeiq.org)
  • Lay out how Disability Income Insurance can help cover expenses during recovery.
  • The time to purchase this coverage is now – the premium will never be lower.
We have client approved marketing tools available to help you prospect your current customers while reaching new ones. Contact your Disability Expert to learn more about growing this corner of your business.
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The “Third-Tier” Of Income Protection For Top Wage Earners

The need for income protection in this country is clear – statistics show a common lack of personal savings amongst the majority of households. And top earners are not immune.
 
Although major corporations typically provide Disability Insurance (DI) through employer sponsored programs or voluntary employee-funded group DI plans, most physician and executive programs insufficiently limit benefits to a fraction of earned income – creating a great financial shortfall for high-income individuals.
 
The answer? A prescription of raised limits of DI throughout the market.

A high-cap excess personal DI is a great way for physicians, attorneys, accountants, and white-collar executives to find appropriate levels of economic safeguard.

We can provide a variety of “third-tier” Income Protection products to meet your client’s needs – and ensure the financial safety of your affluent and under-insured clientele.
 
The plan can be as simple or comprehensive as your clients’ needs require.
 
Securing individual DI is another obvious step – but again, traditional domestic disability carriers frequently fall short with their maximum issue limitations. If you have any clients or prospects who are making over $250,000 annually, they should be insured at least up to 65% to 75% of their earnings. Their protection needs may not be met by group coverage even with the addition of a layer of individual DI. The bundling of group and individual DI alone is not always a sufficient solution.
 
As a life/health insurance advisor, you know better than anyone that a sudden injury or prolonged illness can happen to anyone at any stage of their professional career.
 
Contact your DI Specialist for more information on “Third-Tier” coverage.
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Have You Heard About The M.U.G. Plan?

The M.U.G. plan is a new innovative Disability Insurance sales concept that helps provide your clients with funds in the event they become disabled.

This simple approach will help open doors to new opportunities and possibly allow you to up-sell to clients who need more coverage.

The M.U.G. plan is designed to cover:
  • Mortgages
  • Utilities
  • Groceries
This policy is designed to be more affordable than a comprehensive coverage policy and still provide income to help pay for a clients mortgage, utilities and groceries if they are unable to work due to a disability.
 
The M.U.G. plan helps eliminate client confusion regarding how much insurance coverage is actually needed. Simply ask your client how much do you spend each month on your mortgage, utilities and groceries?
 
To learn more about the M.U.G. plan and how to approach your clients about Disability Income Insurance contact your Disability Income Insurance Specialist today.
 
Download the customizable marketing flyer for the M.U.G. plan below.
 
Return the completed flyer to your Marketing Representative for a meaningful recommendation of protection for your clients.
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Don’t Wait To Hear From Your Clients About Disability Protection

As a Financial Professional, you have an incredible opportunity with clients, friends, and acquaintances that you interact with on a daily basis – they are all in need of an Income Protection Plan.

Bankers, Pharmacists, Dentists, Veterinarians, Grocery Clerks, Doctors, Real Estate Agents, Accountants, Restaurant Owners, Attorneys, Faith Leaders… these are just some of the people you may bump into on any given day.  What do they all have in common?  They all work hard to earn an income to provide for themselves and their families.  

Yet the thought of incurring a sickness or having an accident that would prevent them from working and earning a valuable income often goes overlooked.  You can help.  Simply ask them one question, “Do you have a plan if you get sick or hurt and couldn’t work?”  Then let them know you have an affordable strategy that would help take care of their living expenses should something happen.

Don’t wait to get the call from one of your long-term clients or close friends stating they have been in an accident or have gotten sick and they can no longer work – when you could have had the discussion with them about a Disability Income Protection Plan.  

The financial strain on a family dealing with a long-term illness or recovery from an accident can be financially catastrophic.

Even if you have already had an income protection discussion with your clients in the past and even if they had a plan through work or had an individual plan in place, still ask the question.  They may have changed jobs since you last spoke or let their individual coverage go during our economic downturn. There may be an opportunity now that did not exist in the past.

The best time to contact your clients, friends and acquaintances is right now!

Statistically, the odds are 1 in 4 workers entering the workforce will incur an illness or injury that would prevent them from working for 90 days or longer before they retire.

My experience has shown that people proactively seeking to buy Disability Income protection usually, but not always, already have some kind of a health concern that makes applying for protection more difficult.  Their policy could be issued with limited benefits or some kind of an exclusion for a pre-existing condition.  They could even be declined for the coverage depending on the severity of their health history.

Reach out to your clients while they are still healthy – their rates will never be lower than they are right now.  Recent innovations in the Disability Income market have made it more affordable than ever to secure the coverage your clients need to live their regular lifestyle during the recovery from an illness or injury.  Disability Insurance allows individuals time to focus on their recovery process rather than worrying about the financial strain that comes with not receiving a regular paycheck while still having bills to pay.

Don’t waste time with the prospects who “just don’t get it”.  You will find that there are many people out there that do “get it” and want to learn more.

We have a dedicated Disability Income Team to support your Disability Income marketing efforts; and offer innovative tools you can use to help get the word out to your clients that you are in the Income Protection Business.  We can provide you with the guidance you need to find each of your clients the best plan the industry has to offer.

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DI Retirement Security

Do you have clients who’ve maxed out their Disability Insurance coverage and could possibly be leaving their retirement unfunded if they got sick or hurt?
 
Try DI Retirement Security (DIRS). It provides coverage for individuals to help them continue to make retirement contributions if they become unable to work due to disability.

Since retirement contributions are not necessary to qualify for this coverage, any individual in a qualifying occupation (class A through 5A Select) earning at least $76,000 per year can apply for DIRS.

Coverage also does not diminish eligibility for regular individual Disability Income (DI) Insurance. This means an individual can qualify for DIRS even if he or she already has a regular individual DI policy up to the maximum issue and participation limits.
 
How DIRS Works
  • If the insured is disabled beyond the elimination period, benefit payments are made to an irrevocable trust. These proceeds are not accessible until age 65 or 67 (depending on the Benefit Period selected).
  • The insured directs the investment of the funds to fit his or her investment style and risk tolerance, using a number of investment options within the trust. There is a $50 per month trust administration fee.
  • The trust is activated only after the insured meets the elimination period requirement and benefits begin. Trust earnings are taxable each year to claimants/ insureds, unless they selected a non-taxable investment instrument.
  • Claim benefits paid to the trust are non-taxable if the insured pays the DIRS premium. Benefits are taxable if an employer pays the premium and the premium is not considered income to the employee.
  • At the end of the Benefit Period, trust assets are distributed to the insured per the terms of the trust agreement.
DIRS Features
  • Coverage provides a maximum benefit up to 15% of earned income, with a minimum benefit requirement of $1,000 per month. For 2023, the maximum benefit is $4,550 per month ($5,850 per month if the benefit is taxable).
  • Available elimination periods are 180 or 365 days.
  • Benefit periods are To Age 65 or 67, with “Your Occupation” periods of two years, five years, Age 65 or Age 67.
  • Optional riders include: Future Benefit Increase, Cost-of-Living Adjustment and Mental/Nervous Substance Abuse Disorder Limitation.
If DIRS is written as a stand-alone policy with no other DI coverage applied for or in force, then simplified underwriting guidelines are used. If the client applies for other DI coverage along with the DIRS application, full underwriting applies. Employer groups that qualify for a multi-life discount also receive the discount on DIRS policies.
 
For more information contact your Disability Income Insurance Specialist today.

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