Long Term Care and Disability Insurance

Helping a Business Owner Keep The Business Running

Presented by Michelle Daharsh When small business owners become disabled, there’s a lot more at stake than just their personal obligations to their family. Ongoing business expenses such as rent, utilities, employee salaries and property taxes all need to be met, regardless if the business owner is there or not. Your clients may already have disability income insurance in place to cover their personal expenses and income, but think about what would happen to those clients that own a business if they had a serious accident or an illness? How long would your client’s business survive, and how would they pay their monthly expenses in order to keep their business open? Business Overhead Expense (BOE) insurance is designed to help protect your client’s business if they were to become disabled due to a serious illness or accident and are unable to work. Not only does that business owner have their own personal expenses to worry about, but they also have to pay employee salaries, rent, taxes, utilities, and a host of other expenses of their business. How are they going to be able to do this if they can’t work? Those bills could add up quickly if there isn’t business expense protection in place. A BOE policy will provide monthly payments to help pay those overhead expenses of the business and give your client the peace of mind that their business will continue to be up and running while they are recovering! Without Business Overhead insurance, your client may have to consider other alternatives or potentially close their doors permanently. Unlike a personal disability income policy, which can pay benefits to age 65 due to a disability, a business overhead expense policy generally has a shorter benefit period of one to two years, but for a very specific reason. It allows a business owner that may be recovering from a disability, the time to get things back to some form of normalcy. However, if the disability of the owner is going to be more permanent, then it gives the owner ample time to explore alternatives for the business without being under a hardship to make a quick decision. Give your small business owner clients the power to help protect what they have worked so hard for with a Business Overhead expense policy!
Long Term Care and Disability Insurance

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

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.