Are you struggling to add Physicians to your book of DI business? If so, it is time to sharpen your referral strategy as a record-breaking 31,757 medical resident positions were filled through the National Resident Matching Program in 2017.
The demand for physicians is growing faster than our Graduate Medical Educational (GME) Programs can supply. To address this crisis, The American Medical Association supports legislation that would add 15,000 total resident positions over the next few years through passage of The Resident Physician Shortage Reduction Act of 2015.
That is great news for our industry as physicians are the largest consumers of income protection products. It is not shocking; these professionals witness the toll a sickness or injury collects from one’s body/mind on a daily basis. They recognize that their ability to generate income is their most valuable asset.
To assist you with developing a lucrative physician referral stream for your practice, DIS offers two proven marketing strategies to sell disability insurance for doctors below:
Strategy #1 – Secure a GME Program Endorsement
Offer eligible residents and fellows a Guarantee Issue Individual Disability plan at the Institutional level. Advantages include heavily discounted premium rates and medical evidence of insurability is not required. Future purchase options are available as residents matriculate, allowing you to maintain this relationship over the physician’s career. Program qualification requires carrier approval of a joint marketing strategy with demonstrated support from the endorsing Medical Institution.
Strategy #2 – Specialize in Loan Indemnification DI Plans
Healthcare Mergers and Acquisitions in the US reached $241B by May of 2015, the highest year to date volume ever recorded according to a report published by Accenture. As awareness heightens on the probability of disability over death, lending institutions are taking additional steps to protect their interest revenue. A growing number of lenders now require a borrower to assign the proceeds of a disability insurance policy under the terms of the loan agreement.
Loan Indemnification DI plans ensure payments for business loans continue if a borrower incurs a total disability and cannot work. The cost per hundred of insurance is less expensive than personal disability plans and the borrower does not have to relinquish a portion of their personal income protection plan to indemnify the loan. Educating lenders on the availability of these plans can lead to a fertile referral relationship as the volume of medical practice acquisitions increase.
Lenders will appreciate your expertise in helping them manage their risk while reducing their administrative workload. Borrowers will value your guidance by presenting a low cost solution to meet the terms of their loan agreement. Moreover, you will benefit by adding more physicians to your book of business while developing cross-sell opportunities within the new practice.
Ready to market disability insurance for doctors? For assistance in developing these physician referral relationships, contact DIS today to secure the tools and marketing materials to support your efforts. Also, make sure to download our Disability Insurance for Doctors Sales Kit.
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