December 17, 2014 by Troy Baccus

What if a business owner gets hurt?


If a business owner gets seriously injured or sick how does the business operate? How does it pay its bills? Does the business dissolve, get sold, or continue to run? These are important questions; especially if you own your own business.

There are specific types of insurance designed to financially help business owners if they get hurt or sick. They are:

  1. Disability Insurance 
  2. Business Overhead Insurance
  3. Business Loan Protection
  4. Disability Buy-out Protection


Disability Insurance for Business Owners

If you rely on the income your business earns then you need disability insurance. Disability insurance will begin paying you a monthly income if you become hurt or too sick to work. In many cases, the disability income benefit will pay in addition to the income your business brings in. If your illness turns into a long-term disability, then your disability insurance policy will continue paying long after your business income goes away.


Disability Business Overhead Insurance

Business overhead insurance pays you a monthly reimbursement check for the monthly overhead your business incurs. That means if you have a business with a high rent or payroll obligation, the insurance company pays for these expenses if you get hurt. If you have a business with high overhead expenses, then you should have business overhead insurance.


Disability Business Loan Protection

Disability business loan protection is a disability insurance policy that is designed to match the terms of a loan. Often times lenders will require disability business loan protection before approving a loan. With this insurance the policy pays an outstanding loan if the borrower gets hurt or sick. Taking out a big loan for your business? Buy this insurance.


Disability Partnership Buy-out Insurance

Disability partnership buy-out insurance is an extremely important type of insurance for business partners. A business partnership should have an underlying plan for what happens if one of the owners falls ill or dies. The plan is typically called a “buy-out plan” and an insurance policy can be crafted to meet the terms of such an agreement. If you are a member of a partnership you should make sure to confirm all owners are on the same page as to what happens if someone falls ill.


Contact us to discuss more financial protection options. Request a quote today>>

Troy Baccus


The Standard, MetLife, Principal Financial Group, Genworth, & Lincoln Financial Group