MD Preferred Blog

By HMS and Associates-Insurance & Financial Consultants

Attention Medical Professionals:

We need your help. We have our second part of this case study that we would like each of you to read and then answer the questions for yourself, honestly.

We have two medical professionals like you - on one hand the story turned out great, if you remember or read the last story about Dr. Jon, a Cardiologist from Massachusetts. On the other hand, we have this story turned, which turned out not so great.  

By Ogletree Financial

Similar to other professionals that have a family that depends on them for financial security, physicians also need life insurance in order to provide for their family should they die unexpectedly. Purchasing the appropriate type of life insurance and ample life insurance coverage can ensure that the surviving family is still able to achieve their financial goals such as providing for a disabled child or extended family, sending the children to college, or retiring peacefully and comfortably, even if the primary provider passes unexpectedly.

While some doctors may feel that they are in the greatest shape of their life, we never know what the next day may bring in terms of an unexpected cancer diagnosis or tragic accident. Today we have critical and chronic illness insurance riders we can add to life insurance policies. Similar to disability insurance, a life insurance policy replaces an insured’s income if the unforeseen happens.

Unfortunately, purchasing sufficient life insurance coverage can be burdensome due to external factors beyond the insured’s control. Not only does your current financial budget need to be considered, but you will also need to predict what your financial future might possibly look like. 

Buying property can be challenging, especially if you are selling your old house and purchasing your dream home simultaneously. After all, it might take a while to offload your previous home. It could leave you without enough funds to secure your new property. Luckily, a bridging loan can help you avoid the dilemma.

Bridging Loan and How It Works

A bridging loan is a short-term funding choice. As the name implies, it is used to “bridge” the gap between the sale of one property and the purchase of another.

The bank typically works out the amount of the loan by combining your new home's value with that of your existing mortgage and then subtracting the assumed sale price of your existing property. The result is your “end debt” or “ongoing balance.” It also represents your bridging loan's principal. The bank will then evaluate your capacity to pay off this end debt.  

By Josh Mettle, Fairway Physician Mortgage

If you’re like many clients I speak with, your family may be ready for a home that better fits your needs. It’s possible your family size has changed, your lifestyle and recreational interests have evolved, or your just plain old sick and tired of wasting hours of your life commuting.

Unfortunately, the annoyingly low real estate inventory problem is making it hard for millions of Americans and thousands of Utahns to find the home of their dreams; one that will fit their family’s needs and afford them a better lifestyle.

Here are a few of the statements I hear from clients regularly: 

By HMS and Associates-Insurance & Financial Consultants

Attention Medical Professionals: We need your help. We have a case study that we would like each of you to read and then answer the questions for yourself.

We have Dr. Jon a Cardiologist from Massachusetts who invested in a IUL (Index Universal Life Policy) strictly for growth. He invested $50,000 and paid the first month premium of $2,000 and called the agent and told him that he wanted to cancel the policy. The doctor didn’t want to tell the agent the real reason why, so here’s how the conversation went. 

This article originally appeared on Capson Physicians Insurance's blog

As 2017 comes to a close, we all make personal resolutions. But what about professional resolutions designed to ensure a prosperous, productive and stress-free new year? For solo and small practice physicians, specific resolutions could lay the groundwork for a year of unparalleled success. But choosing not to prepare for the inevitable pitfalls all practices face could result in a year of financial and legal headaches. The truth is that it’s not a matter of “if” a physician will face a professional crisis, it’s when. The good news is that physicians can follow simple steps to avoid unwanted drama.

First, let’s understand the reality. For solo practitioners and those in small practices, the sphere of risk is greater than for colleagues who operate in large health care systems. For the latter, in-house attorneys and sweeping professional liability coverage may provide a cushion of security. But big systems are not a perfect fit for everyone. Some physicians prefer autonomy, providing highly personalized services, and reaping the rewards of their own businesses. Furthermore, the need for rural practitioners attracts physicians who want to make a positive difference in underserved communities. Whatever reasons physicians have for going small, they all deserve the same protection as their colleagues. 

Given their often high student loan balances, doctors can have a hard time qualifying for home mortgages. To combat the issue experienced by this group, some companies offer home mortgages targeted directly at new doctors and their unique financial situation.

These mortgages typically come at higher interest rates, and they don’t require a down payment. Many giants in the industry, such as Bank of America, have seen a large increase in how much of their business comes from these physician mortgages.

However, even smaller banks are getting into this particular market. Bank SNB saw $50 million those particular mortgages last year and is expecting to reach closer to $100 million this year, CNBC reported. 

By: Gary Fegan, DisabilityQuotes.com

Disability insurance policies are made up of a base policy and various policy riders. A rider is additional coverage that can be added to a policy. Additional riders are used to add supplemental coverage and make it part of a policy. There are some riders that can be essential for your situation and worth adding to the policy. There are other riders that would quite frankly be a waste of your premium dollars.

All disability carriers offer different riders. Some features are included in some policies but are riders on others- so it is important to look closely at the base policy and any and all riders considered. The riders allow you the flexibility to customize the policy to fit your specific situation and needs. Optional riders on an individual disability insurance (IDI) policy can help make sure that the coverage is for your specific occupation and keeps pace with inflation; guard against partial disabilities; and, even allow one the opportunity to purchase additional coverage without any further medical questions in the future.

The following five features are most commonly selected by our clients: 

Dougherty & Associates

What does financial wellness mean and why is it important?

We know from experience that people who feel “well” financially are able to make better financial decisions. They feel more confident and optimistic about where they are now and where they are headed. They are therefore less apprehensive, stressed and fearful. They feel empowered to build healthy habits for pursuing and sustaining living life as they envision it. As a consequence, they are less prone to making mistakes that are costly, including procrastination and avoidance, not to mention things like selling out of their investment strategy at the worst possible time (market timing), or incurring significant credit card debt.