DI for Doctors

[bill3173]

DI is not my specialty. I've written several smaller DI policies in the past, and mostly used Assurity. However, I have a good number of medical professionals and Doctors on my agency for Life and Health and lately, for no particular reason, I've had several calls for large DI cases.

I'm currently contracted with MOO, and a couple of other DI companies, and wanted to know if any of you DI experts have a preference for carriers underwriting physicians?

Just checking, moving the cases is not an option, they want me to work on them, and I have like three going at one time. Any relevant input will be appreciated.

Thanks,

Bill 3173

 

[moonlightandmargaritas]

Guardian, Guardian and Guardian would be my top three.

 

[JRoot]

I 2nd what moonlight says.

 

[bill3173]

Great, much appreciated. DI doesn't get much air time on this board, and I don't really anticipate many more responses.

Just curious, I can tell by the thrust of your comments that ya'll have done enough of these to have a good basis for your remarks. So, what is wrong with Assurity for larger cases, with an own occ rider? Their prices are lower than most of the other carriers. I've never gotten a straight answer about this from anybody? M&M, anybody?

No presumption on my part, if you say that they are not the ones, no argument from me, but why?

 

[somarco]

Cutting in here . . .

I have never written much DI but I have witnessed the carnage of carriers passing thru this market over the years. Go back 20 yrs or so and UnionMutual (now Unum) was king with own occ and benefit levels up to $20k per month.

A few other carriers tried to compete but could not come close.

Eventually their aggressive stance, liberal policy language and high benefit levels almost took them down.

DI carriers are basically in 2 camps. One group specializes in blue collar and sub-standard. Assurity would fall in that class.

Others focus on white collar risks. Unum & Guardian would meet that definition.

DI is heavily reinsured due to the long tail nature. While it is possible for a carrier to segregate their block into high risk and low risk business, most don't write enough DI business to adequately spread the risk across multiple classes and reinsurer's.

Pricing is an issue, but contract language is where you need to focus. How they define disability + riders is the key, especially in the white collar market.

Residual and partial disability benefits and how they are defined is crucial.

Don't know if this helps or not but it might address a few of your questions.

 

[moonlightandmargaritas]

Go back 20 yrs or so and UnionMutual (now Unum) was king with own occ and benefit levels up to $20k per month.

DI carriers are basically in 2 camps. One group specializes in blue collar and sub-standard. Assurity would fall in that class.

Others focus on white collar risks. Unum & Guardian would meet that definition.

Pricing is an issue, but contract language is where you need to focus. How they define disability + riders is the key, especially in the white collar market.

Residual and partial disability benefits and how they are defined is crucial.

Who's old enough to remember when Paul Revere was a big DI player?

All these issues that somarco points out are what make Guardian the best choice for physicians, imho.

 

[somarco]

I didn't want to date myself too much, but yes, Paul Revere (are they even still around) was a major player. So was Provident (before they merged with Unum).

Even Allstate had a few months in the sun for group LTD. They were kicking butt and taking names.

While NWML was known as the Quiet Company, Guardian was practically off the radar but always a class act.

 

[bill3173]

Who's old enough to remember when Paul Revere was a big DI player?

All these issues that somarco points out are what make Guardian the best choice for physicians, imho.

20 years ago? I was fearless and thought DI was for pansies.
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Who's old enough to remember when Paul Revere was a big DI player?

All these issues that somarco points out are what make Guardian the best choice for physicians, imho.

I'm not appointed with Guardian, but will look into that today. What are your thoughts on Union Central?

 

[Ray Ray]

Disability Income has been around longer then Health Insurance. If your working with Doctors and like professionals do yourself and your clients a favor and work with High-Line Companies like Guardian or UM/Provident Life. I don't know if NW Mutual or NYL will broker there DI.

Check Out Guardian's Disability Buy Sell Polices for your Doctors involved in a Partnership or LLC Practice.

 

[bluemarlin08]

Met and Principal have quality contracts, I would ask for a sample policy from each and compare the language and the rates.