OMA Disability Insurance Premiums vs. Individual Disability Insurance Premiums

A doctor can get
a better disability plan
on his own
than with the
Ontario Medical Association.

An LSM broker recently met with a 42-year-old, male medical specialist who was considering his disability insurance options. He was looking for a disability policy with a 90-day elimation period, a benefit period to age 65, an 'Own Occupation' Rider, a Future Income Option, and a Cost of Living adjustment.

Under that criteria, the LSM broker uncovered the following facts about the Ontario Medical Association's insurance plan when compared to RBC, Manulife, and Canada Life Professional Policies:

1. All contracts are very similar in protection and the definitions are virtually identical.

2. The OMA does not offer guaranteed policies or level premiums, while RBC, Manulife, and Canada Life fully guarantee those type of definitions in the contract and the price is level to age 65.

3. The  OMA's maximum monthly benefit is $15,000, while the highest monthly benefit available between Manulife, Canada Life, and RBC is $35,000 per month (if your income allows it).

4. As you will see below, OMA prices automatically increase as you get older:

Age 42-44 - $357.75
Age 45-54 - $597.38
Age 55-69 - $610.88

RBC, Canada Life and Manulife offer the following level premium to age 65:

Age 42  - $540.59
Age 42-65 - no change

As the information demonstrates, the old adage, "You get what you pay for," has never been more true. When analyzing the overall cost and underlying benefits, it's clear that individual disability insurance can offer substantially more benefit for the monthly premiums the physician will pay.

For more details on the OMA group disability plan or an individually tailored disability insurance quote, contact us at 1.866.899.4849 or visit our Disability Insurance Quote Page.

Posted by Chantal Marr.