Some of the “Big Six” Own Occupation carriers have a Benefit Update which is also known as a Benefit Increase Rider or Benefit Purchase Rider; depending on the carrier’s contract. This video explains the differences between the types available to you.
There isn’t a right or wrong answer on these but be sure to talk with an independent broker to determine what type works best with your training schedule, your future income; all dependent upon your specialty.
Some of these riders have special rules and you want to be sure to have an ongoing relationship with your representation (your agent), so you don’t miss any mandatory requirements and/or anniversary windows.
Please let us know if we can help!
What You Will Learn:
• The difference between a Benefit Update Rider and a Future Increase Option (FIO)
• How free Benefit Update Riders work
• Why Benefit Update Riders include mandatory review requirements
• What happens if you miss a required policy checkpoint
• How income growth or losing employer group coverage may accelerate increase opportunities
• Why Future Increase Options offer greater flexibility
• The trade-offs between free riders and paid increase options
• Why reviewing your disability insurance annually is important
Chapters:
0:00 Introduction: Benefit Update Rider vs. Future Increase Option
0:08 How Benefit Update Riders Work
0:52 Why Keeping Your Contact Information Updated Matters
1:34 Accelerated Increase Opportunities
1:56 How Benefit Purchase Amounts Are Calculated
3:04 Choosing the Right Increase Strategy
3:39 Why Future Increase Options Offer More Flexibility
4:12 Annual Policy Reviews & Avoiding Underinsurance
4:43 Free Physician Disability Insurance Resources