Medical students don’t need to be told that life can be stressful. Every day they’re studying and training in an environment filled with medical hazards that could make them sick, are often trying to function with too little sleep, all while worrying about making ends meet and how they’ll ever repay their student loan obligations.
So, it’s no surprise that students often seek help from crisis counselors and healthcare professionals to help manage their stress while they focus on their training and the patients who rely on them.
While taking immediate action to manage stress is of the highest importance, an unfortunate byproduct of taking these steps is the negative impact it may have on any attempt to purchase disability insurance to protect their income during training and practice years.
Unlike the disability insurance benefits provided by most teaching hospitals and employers, attempts to obtain personal coverage to protect more of your current or future income will allow an insurance company to evaluate all current and past health issues, including decisions to seek counseling and/or take medication to address immediate mental health needs.
In past years, insurance carriers would automatically deny an application for coverage from anyone currently in treatment or who had sought counseling within five years of their application for coverage. However, in recent years most insurance carriers have relaxed their positions on offering coverage to someone who is in counseling and/or taking medications.
While the insurance industry now seems to recognize the value of seeking help and requests for coverage aren’t being turned away, it’s not unlikely that any offer of insurance will include an additional premium, will limit the benefit period for any type of claim and the monthly benefit amount usually can’t be raised in the future to cover increases in income.
Recognizing the importance of protecting one’s mental wellness needs during training, the majority of our nation’s medical schools have secured long term disability coverage that has been designed to guarantee their graduates the right to maintain income and student loan protection without any risk of being denied coverage due to any current or pre-existing health conditions.
This ability to secure portable coverage on a “guaranteed issue” basis is only available during the months surrounding graduation and it could prove to be a unique and important way for graduates to protect their financial wellness while also addressing their mental well-being. These portable policies provide the opportunity to supplement the limited income replacement benefits traditionally provided to residents and fellows during their training, to fill in any coverage gaps in a future employer’s benefit program and provide an additional benefit to reimburse student loan payments during a disability.
Protecting one’s mental health should never be put off due to the concern of how it will impact the ability to obtain disability insurance. Thankfully, the disability insurance coverage provided by many schools to their graduates, eliminates the fear that actions taken to manage stress will impact the ability to protect their financial wellness throughout their careers.
