The Amber Stitt Show

Physician Edition's: What is the Residual and Recovery Rider?

August 02, 2022 Amber Stitt
The Amber Stitt Show
Physician Edition's: What is the Residual and Recovery Rider?
Show Notes Transcript

NOTE: This podcast was transcribed by a free AI transcription tool called Otter. Please forgive any typos or errors.

Amber 0:01

Scott and I are going to talk about Residual Disability Riders and The Recovery Rider which most of the contracts have baked into the contract. Often we're asked what is a partial disability writer and that shows up on our Own Occupation private plans as Residual Rider. This is because the partial disability claim has occurred and your physicians deemed you disabled, partially disabled, but you have some income loss and the way to trigger those benefits is to have met the trigger point. Once you meet the trigger point, then whatever percentage of income loss you do have that's what you'll get multiplied by your benefit amount.

Scott 0:38

Whenever we look at these things, you always want to make sure that, you know, are you dealing with a residual that has a time period or one that goes to the full benefit period.

It's kind of an issue that you can find in contracts. And so you will want to make sure that if you are on a residual claim, as an example, you get hurt and you can do you know, some of your surgeries that last longer than 30 minutes because you just don't have the stamina.

Example:

So, you've got this capacity where you were making $400,000. Now you're making $200,000 hours, but you're still working in your specialty, you're still performing a B, and C or whatever it was that you're doing. And so you're not prevented from doing your occupation. You're just prevented from doing it as much as you got that percentage loss of income to be paid out until you either fully recover and come back or being to have your period.

So if you are curious about that, do you think you would prefer a Recovery Rider? Be sure to look into your contract and make sure you have that.

Scott 2:04

If you become disabled or you have an impact on your earnings, and you don't ever make it all the way back to the hours are you still going to pay because 32 hours are considered full-time? So as an example, most physicians are working between 60 and 80 hours a week. If you have a cardiac and your physician said you know what, we really need to take more than 40 hours.

Well, the rest of America is gonna be so that's kind of what we were. You may have been experiencing 30, 40, 50 60% loss of income because that amount of time that I had to do the procedure work, that it was making the lion's share of the money or just simply, you know, hours being cut in half. So you've got to be careful and really make sure that we're tailoring the training tailored to your needs.

Transcribed by https://otter.ai
Thank you again for joining me, Amber Stitt, in this episode of The Physician's Edition. I’ll see you next time, podcasters!

NOTE: This podcast was transcribed by a free AI transcription tool called Otter. Please forgive any typos or errors.

Amber 0:01

Scott and I are going to talk about Residual Disability Riders and The Recovery Rider which most of the contracts have baked into the contract. Often we're asked what is a partial disability writer and that shows up on our Own Occupation private plans as Residual Rider. This is because the partial disability claim has occurred and your physicians deemed you disabled, partially disabled, but you have some income loss and the way to trigger those benefits is to have met the trigger point. Once you meet the trigger point, then whatever percentage of income loss you do have that's what you'll get multiplied by your benefit amount.

Scott 0:38

Whenever we look at these things, you always want to make sure that, you know, are you dealing with a residual that has a time period or one that goes to the full benefit period.

It's kind of an issue that you can find in contracts. And so you will want to make sure that if you are on a residual claim, as an example, you get hurt and you can do you know, some of your surgeries that last longer than 30 minutes because you just don't have the stamina.

Example:

So, you've got this capacity where you were making $400,000. Now you're making $200,000 hours, but you're still working in your specialty, you're still performing a B, and C or whatever it was that you're doing. And so you're not prevented from doing your occupation. You're just prevented from doing it as much as you got that percentage loss of income to be paid out until you either fully recover and come back or being to have your period.

So if you are curious about that, do you think you would prefer a Recovery Rider? Be sure to look into your contract and make sure you have that.

Scott 2:04

If you become disabled or you have an impact on your earnings, and you don't ever make it all the way back to the hours are you still going to pay because 32 hours are considered full-time? So as an example, most physicians are working between 60 and 80 hours a week. If you have a cardiac and your physician said you know what, we really need to take more than 40 hours.

Well, the rest of America is gonna be so that's kind of what we were. You may have been experiencing 30, 40, 50 60% loss of income because that amount of time that I had to do the procedure work, that it was making the lion's share of the money or just simply, you know, hours being cut in half. So you've got to be careful and really make sure that we're tailoring the training tailored to your needs.

Transcribed by https://otter.ai
Thank you again for joining me, Amber Stitt, in this episode of The Physician's Edition. I’ll see you next time, podcasters!