As a junior doctor, do you have the right amount of insurance coverage to secure your finances? What would happen if you became unable to work and couldn’t produce an income? Can your insurance from your super account cover your living expenses and medical expenses?
Having the right insurance policies with enough coverage is crucial for every doctor as it gives peace of mind knowing that they have a financial safety net in case of emergency.
At Curo Financial Services, we are specialists in insurance advice, it is all we do. Not too dissimilar to the medical profession, a specialist is entirely focused on one aspect of financial planning. This focus results in significant knowledge, expertise and industry know-how. Such is our expertise, financial advisers from across Australia refer their clients to us for insurance advice.
In this article, we will share expert insurance advice for junior doctors. From their financial risks, the different types of insurance, knowing which insurance to have, and how to choose the right insurance provider.
What Are The Common Financial Risks of Junior Doctors?
Before diving into insurance advice, first, you need to understand some risks you are exposed to, as a junior doctor, which can impact your financial stability.
Accidents and injuries
Work-related or personal accidents and injuries that cause total and permanent disability can result in loss of work and income, let alone incur medical expenses for treatment and recovery.
When it comes to medical practitioners, you are exposed to unique hazards in the workplace, such as needlestick injuries. It is critical that your insurance accounts for potential needlestick injuries, including conditions such as HIV, Hepatitis B, and Hepatitis C.
If you practice as a surgeon, you have unique risks as your career may be in jeopardy should you lose a degree of dexterity. There are ways in which this risk can be mitigated, via insurance, that we will discuss later on.
With no income to cover basic living and medical expenses, this can put a junior doctor in financial trouble.
Physical and mental health conditions
Heart attack, stroke, cancer, nervous system, and mental health disorders are some of the physical and mental health conditions that can drain savings. A doctor is exposed to a wide range of highly confronting scenarios that could well impact one’s own mental health. No one is immune and it is critical that your insurances account for this risk.
Untimely passing
The untimely passing of a breadwinner, which some doctors are, will put the family in financial distress. No income to support their lifestyle, rent payments, and possible medical bills.
While they may be able to find jobs, it will be hard to replace the income a junior doctor earns.
Medical malpractice
Legal expenses and damages from malpractice can be costly and time-consuming. Not being able to have a risk mitigation such as insurance can eat into your savings.
How Can Insurance Help Junior Doctors?
An insurance policy can provide funds to cover medical expenses or financial support through a lump sum payout in cases of severe medical health conditions, total and permanent disability, untimely passing, or medical malpractice instead of taking funds out of your hard-earned savings.
Insurance For Junior Doctors
The long hours at work, high levels of stress, and pressure to do your best for your patients are what is behind you in this rewarding career. As a junior doctor who is starting to build a career, it is also important to look after your physical and financial well-being.
In this section, we have listed the different types of insurance that are available to junior doctors.
Income Protection Insurance for Junior Doctors
Rent, utility bills, transportation, and other expenses will not stop even when you can’t produce an income. Being unable to work due to illness or injury will prevent you not just from paying for your basic living expenses but will also prevent you from providing for your family.
Income Protection Insurance will support you financially during challenging times by providing up to 70% of your monthly income while you recover. This coverage can relieve you from the stress of being financially drained in case of unforeseen events.
With income protection insurance, many policies these days do not cover you based on your ability to work in your Own Occupation for the duration of any claim. Often policies, after two years on the claim, will require you to be unable to work in Any Occupation for which you are suited by way of Education, Training, or Experience. There are ways you can mitigate this risk and it is crucial that you obtain personal advice.
Learn more about Curo Financial’s Income Protection Insurance for Junior Doctors.
Total and Permanent Disability (TPD) insurance for Junior Doctors
Being permanently disabled due to illness or accident is threatening and can alter anyone’s life and career. While no one can guarantee that they can’t be disabled, having a financial safety net in the form of TPD Insurance is highly beneficial.
TPD Insurance for junior doctors provides financial support to the policy owner through its lump sum payout which can be used for ongoing treatment or to cover medical bills.
TPD insurance typically has two definitions of disability, Own Occupation or Any Occupation. These definitions play a significant role in how a claim will be handled and it is crucial that you understand your options. Amongst our junior doctor clients, Own Occupation coverage is generally far preferred as it often provides you with security that you will receive a payout should you be unable to ever return to work in your precise role, whatever that specialisation or role might be. Any Occupation policies typically require a greater degree of disability as they require you to be unable to work in Any Occupation you are suited to.
While processing a TPD claim can be done individually, working with a professional such as Curo Financial will increase your chance of getting approved by the insurer. Get in touch with our team for your TPD Insurance needs.
Life Insurance for Junior Doctors
A life insurance policy is generally appropriate for junior doctors with dependents. It provides a lump sum payout to your beneficiaries in case of untimely passing or a diagnosis of terminal illness, allowing you to still take care of them by providing a financial runway.
At Curo Financial, we specialise in customising Life Insurance for junior doctors to match their financial situation and goals.
Trauma Insurance for Junior Doctors
People under stress can cause them to develop unhealthy habits such as overeating, lack of exercise, sleep deprivation, smoking, or drinking which can lead to chronic illnesses such as cancer.
Having Trauma Insurance can support the policy owner with unforeseen medical expenses, basic living financial support, or income coverage for a family member who would take off time from work to support the policy owner in recovering.
Our simple and seamless process at Curo Financial can help you process your Trauma Insurance claim.
Waiting Periods
There will be waiting periods when filing for a health insurance benefit when a policy owner takes out another health insurance policy or increases its existing coverage.
Indemnity Insurance
For Professional Indemnity Insurance can cover the legal cost of malpractice when performing surgical procedures.
How To Choose The Right Insurance Policy?
Having the right insurance policy that serves your needs is important. Below is a quick guide to help you out:
- Know your insurance needs: every person has a unique financial situation and goals. Therefore, insurance needs will vary. Knowing your needs such as which risks you want to mitigate first or if you have an existing policy, is the coverage enough?
- Compute how much coverage you need: this step of the process is quite complex. To get a ballpark figure of how much coverage you need, you may have to consider the number of your dependents, your lifestyle, mortgage payments, or how long you want to provide a financial runway. While there is no exact math for this, working with an insurance expert can help you understand all what needs to be considered and help you come up with the optimal amount of coverage.
- Make a comparison of available options: insurance policies would normally fall into two major categories:
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- Term life insurance – this kind of insurance policy usually offers a fixed term of coverage, offering a lower premium in the early years of the term. However, this does not accumulate cash values.
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- Cash value insurance – this could be either whole life, universal life, or variable life insurance. An insurance expert can help you determine which is best for you.
- Ensure that you can afford the premium payments: being able to pay your premiums promptly will not only ensure that your insurance coverage is active and enforced but also, some benefits on your policy will depend on your premium payments.
How To Maximise The Benefits Of Insurance Policy?
While each type of insurance policy is designed to help a person get access to financial support, they cater to different situations and offer different benefits. Do the following to maximise your benefits from your policy:
- Regularly review your policies and coverage – as a junior doctor, your insurance needs and coverage requirements can grow faster than others. Regularly checking your financial situation and capabilities can help you address this. You may seek the help of your insurance advisor to guide you fill in the underinsurance gaps that you may have.
- Be mindful of your premium payments – premium payments are often linked to additional benefits in your insurance policies, such as loyalty bonuses. Make sure that you are updated and diligent with your premium due dates to take advantage of this.
- Work with your insurance advisor – your insurance advisor can help you more than just answer your questions or help you process your claims. Your advisor can help you identify if you have enough coverage or find gaps in your insurance.
Want Help Finding High-Quality Insurance?
We understand that in the medical field, time is a luxury doctors are scarce of. They can’t afford to spend all of their time doing research and studying all about insurance policies. That is why our team at Curo Financial, offers expert insurance advice to junior doctors to help them make an informed decision in choosing the best policy that will mitigate life uncertainties.
Our team of experts spent decades working with junior doctors to help them get the most suitable insurance policy.
For any insurance advice that you need, we will be happy to assist you. Get in touch with us.
Frequently Asked Questions
What insurance types are essential for junior doctors to have?
Junior doctors in Australia normally have life insurance, income protection insurance, TPD insurance, Trauma Insurance, and indemnity insurance.
Is insurance worth it for junior doctors?
Given the life uncertainties present with junior doctors and the amount of assets and lifestyle they can afford, having insurance coverage will provide a safety net and peace of mind for them.
An insurance policy is a promise of financial stability to you and your loved ones.
How much does insurance cost for junior doctors?
The cost of insurance for junior doctors can vary depending on the amount of coverage, type of insurance, age of the insured, and additional benefits. Working with an insurance advisor can help you sort this out and provide you with expert insurance advice customised for junior doctors.
