Disability Insurance for Business Owners
Business owner disability insurance is crucial for protecting the financial security of a business owner ensuring the continuity of their businesses in the event of a disability. As the driving force behind their companies, business owners are particularly vulnerable to disruptions caused by illness or injury.
Disability insurance provides a steady stream of income if they are unable to work, enabling them to cover personal expenses and keep their businesses afloat during recovery. By mitigating the financial risks associated with disabilities, this insurance ensures that business owners can focus on their health without worrying about the potential impact on their livelihoods.
Examples of Business Plans
Buy-Sell:
- Ensures sufficient funds are available for one or more business owners to buy the shares of a disabled shareholder or partner in the event of total disability, facilitating a smooth buy-out process.
Key Person:
- Provides benefits for total disability of a key employee. Key persons are those with unique talents, skills, or experience crucial to the company that owners or partners do not possess.
Overhead Expense:
- Offers disability insurance coverage for eligible business overhead expenses in the event of total disability.