Business Disability Products

OVERHEAD EXPENSE

A policy that reimburses a small business owner during a disability for fixed business expenses that are incurred. The benefit period is usually 12, 18 or 24 months, and is designed to keep the business open while the owner recovers or until the owner is no longer responsible for the business expenses. The owner’s salary is not covered, but many other fixed expenses are, including; rent, utilities, employee salaries, professional licenses, property taxes and interest payments. Benefits of up to $50,000 per month are available with traditional carriers.

Premiums for this product are also deductible!

DISABILITY BUY-OUT

A policy that pays a business or co-owner either a lump-sum or a monthly payment to provide the funds to buy-out the business interest of a disabled owner in the event he/she is no longer able to work as a principal in the business.

 KEY PERSON POLICY

A product designed to reimburse the business for a financial loss during the key person's disability until recovery or a suitable replacement can be found. Usually a lump sum or combination with a monthly payment is available.