Business Overhead Insurance: Covers typical business expenses such as rent, utilities, phone, staff salaries and other fixed costs that must be paid regardless of whether a small business owner is at work or recovering from an illness or injury. For physicians, it may even pay another physician to work for you while you recover.
Business Reducing Term Insurance: Helps meet fixed obligations such as business loans, student loans, purchase agreements or employment contracts. This type of disability insurance is used to fund these financial obligations.
Forming Partnerships: When forming a partnership, it is important to protect all parties involved with Buy-Sell Agreements. They are drafted by attorneys and should be updated annually as the value of the practice increases. This agreement, among other things, places a value on the practice to establish the cost to a partner to buy their share upon the death of either partner. In order to make sure that the business can live up to the Buy-Sell plans, life and disability insurances are used to fund it. The insurance proceeds cover the cost to purchase their share of the partnership.
Key Employee Insurance: There are several types of Key Person Insurance. Life and disability insurance can be used to safeguard a business to protect against the untimely loss of a partner, associate, employee or any insurable interest. Permanent Life Insurance policies that build cash value can also be used as an incentive for key employee retention.
Disability Buy-Out Policy: Helps solve the funding problem should one of your partners become disabled and needs to leave the business. Policies are purchased for each owner or partner who would be eligible for buy-out in the case of his or her disability.
Group Policies: Provide life and disability benefits to your employees.