Orthotown October 2012 - (Page 32)

insurance // feature e feature In last month’s issue, Orthotown Magazin les several other typ disability insurance. This month he tack A detailed account of which insu Individual Medical Insurance Just about every dental professional I know carries some sort of medical insurance, whether an individual policy or group coverage. It is my opinion that as an orthodontic specialist, you should purchase an individual medical policy. Even if you are an employee, I strongly recommend you consider purchasing individual health insurance rather than being insured under a group plan. I learned this lesson early in my financial planning career. My 48-year-old general dentist client, Jim, was insured through his office group plan with his wife listed as a dependent, along with three employees. Jim had a stroke and was never able to return to practicing dentistry. After determining he would not be able to return to work, Jim sold his dental practice for much less than its value was before he had the stroke. One day while discussing the medical benefits with the insurance company, Jim’s wife, Nancy, casually mentioned that they had sold the practice. Within a week they were notified that their health insurance was being cancelled. Why and how could this happen? Because Jim no longer owned the practice and he was no longer “employed,” his dental practice no longer met the definition of a “group.” Jim lost his group coverage. Fortunately the group policy had a clause that allowed him to convert his coverage to what is known as a conversion policy. However, he had to go from a $500 deductible and paying a premium of about $380 a month for himself and Nancy, to a $1,000 deductible plan that cost nearly $1,100 a month just for Jim alone. Nancy was able to purchase a less expensive individual medical plan. After two full years of disability, Jim qualified for Medicare and was then able to discontinue the expensive conversion policy. Even with disability insurance, this was very a difficult time for Jim and Nancy financially. I personally believe the risk associated with group medical insurance is too high for any self-employed individual. Remember this about insurance companies – they are in business to make a profit. They can only operate profitably by bringing in more premiums or paying out less in claims. Pay the few extra bucks for individual coverage and protect yourself and your family from a potential financial disaster. If you insist on a group policy, read the policy and know its limitations! I complain about the high cost of my medical insurance like everyone else does. However, I had back surgery in February of 2003 and before all the write-offs from my PPO insurance plan, the total bills associated with my surgery and post-surgery physical therapy were nearly $80,000, but my total out of pocket expenses were only about $1,500. Like I said, 32 OCTOBER 2012 // orthotown.com http://www.orthotown.com

Table of Contents for the Digital Edition of Orthotown October 2012

Front Cover
Orthotown.com Highlights
Wired for Success
Townie Clinical: Phase I Decisions
Best Direct Bonding Protocol
AAO Dues
Corporate Profile: Ortho Classic
New Products
Office Visit: One in a Million
Insurance: We Love to Hate It… But Should We? (Part 2)
You Should Know: G&H Orthodontics
Industry News
Have You Really Thought About Your Schedule Lately?
“Go Mobile…”
Speeding Up Orthodontic Treatment with OrthoAccel’s AcceleDent System
Advantages of Self-Ligating Brackets
Adult Clinical Cases with Pathological Problems Treated with Lingual Orthodontics
Ad Index

Orthotown October 2012