Business Overhead Expense (BOE) Disability Protection for your Client’s Business

Presented by Leonard Berthelsen


We sometimes don’t give much thought about a client’s business beyond the potential conversations regarding Buy/Sell, Key Man and Owner Disability Income coverage.  There is a huge potential risk to a business due to a disability affecting the owner or owners.  Think in terms of protecting the business from a disability, not just the individual.

BOE protection does just that.  It protects the business from an owner’s disability allowing it to continue to operate.

Most small businesses are family or closely held companies that would be significantly impacted if the owner were disabled and not able to work or to participate in the daily direction of the business.  Most companies would no longer thrive and many would just simply fail as a result.

A BOE policy can be the life-line that protects and saves a business.  Imagine for a moment your client that has a small business and the owner is involved in the daily operation.  He has a couple of employees, a business loan, heat, lights and a mortgage to pay each month along with continually generating new business.  A disability occurs to this owner and he is not able to be involved in his own business on a daily basis.  How is payroll going to be met?  How will he pay the light and gas bill on time?  Who is generating new business?  If the owner is unable to be involved in the day to day functions of the business, then that business will undoubtedly suffer as a result of the owner’s absence.

Insurance coverage (BOE) to pay those monthly bills will allow the business to remain open.  If a sale of that business becomes necessary due to the owner’s disability, then a calculated well thought out business plan can be put in place to accomplish that.  Contact your Financial Brokerage Sales Manager at 800-397-9999 to learn more about the Business Overhead Expense plan that just might save your client’s business.

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