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Residual Rider

What is a Residual Rider?

Residual Rider is the Partial Disability Rider on the Own Occupation (Physician Specific) Disability Insurance contracts.

Amber Explains the Residual Rider

STEP ONE

Print the Checklist

STEP TWO

Select the Residual Rider That is Best For You

Basic

Base Salaried positions tend to not have fluctuations to income so if returning to work as a full-time employee, income would typically be reinstated back to pre-disability earnings.

Enhanced

Production based positions that have a base salary with RVU bonuses and/or incentive bonuses, collection based positions and self employed may not return to work automatically to their pre-disability earnings so an enhanced can help the insured during their transitional to full-time status to allow time to get back to pre-disability earnings.

Commonly the enhanced is the recommendation of choice but it does depend on your specialty and your typical compensation model.

STEP THREE

Learn How the Residual Rider Works

Not all Residual Riders are the Same
See what carriers require 15% or 20% income loss
Know how to calculate the payout after triggering benefits

15%

Official logo of the company "Ameritas" displayed prominently.
Official logo of the company "Ohio National" displayed prominently.
Official logo of the company "Mass Mutual" displayed prominently.
Official logo of the company "Guardian" displayed prominently.

Currently, these are the carriers that offer a 15% trigger to activate residual coverage:

For example:
If you suffer 30% income loss, your residual rider benefit would be = .30 x $10,000 = $3,000 of monthly residual disability coverage.

20%

Official logo of the company "Principal" displayed prominently.
Official logo of the company "The Standard" displayed prominently.
Official logo of the company "Guardian" displayed prominently.

Currently, these are the carriers that offer a 20% trigger to activate residual coverage.

If you choose the Enhanced Residual Rider,
you have the ability to fully recover and return to work full-time and continue to receive benefits as long as you can prove at least a 15-20% loss of your pre-disability income exists.

If you choose the Basic Residual Rider,
there is no recovery built into the contract. *Standard does still give recovery on either version.*

This comparison does not apply in California because product features may vary.

Amber Explains Insurance Fundamentals Here:

Still not sure what is best for you?

Our Team is happy to help you decide.

What is your specialty?