Many small-business owners fail to understand how difficult it would be to stay operational if they were disabled and unable to run their business.
The impact of a small-business owner’s disability does not just affect the business itself, but the employees as well.
Protect both the business and staff with Business Overhead Expense (BOE) coverage.
The majority of small businesses are tight-knit families, who rely on each other for support. If the business is unable to produce in the absence of the owner, the employees may have to start looking for alternative employment opportunities and the business would be at a high risk for closure.
The BOE Answer
The need is simple to set up: Small businesses typically cannot survive without consistent production – so what happens when the owner is the primary producer of the business’s revenue and is unable to work?
A BOE plan would keep the business in operation in the event the owner becomes disabled and couldn’t work for a period of time. BOE coverage reimburses all the fixed expenses, including the employees’ salaries, back to the business. In addition, a BOE plan allows for up-front tax deductions of premiums when insuring for the potential disability of the self-employed person. Often, small business owners are candidates for short-term and/or long-term DI as well.
BOE policies are typically short term, with benefit periods from 12 to 24 months and a 30 or 60 day waiting period before benefits are payable – this keeps the premium low and very affordable.
We feature carriers offering BOE benefits of up to $10,000 per month with no exam, lab tests, or tax returns. A policy can be issued within 48 hours after the completion of a short application and client telephone interview.
Speak with your small-business owner clients today to see how you can help them protect one of the most important assets they have – their business.
We’re ready to start work on your clients’ BOE planning – contact your Disability Income Marketing Manager today.