Business Disability Planning
The Need
Disability Buy-Out
Disability Overhead Expense
Virtually any business can benefit from a comprehensive disability insurance strategy. From sole proprietorships to corporations with many employees, all business owners face serious risks to the stability of their businesses and financial well-being if they, or a key employee, become too sick or hurt to work without proper protection in place.
Disability Buy-Sell Insurance policy protects the most common scenario which occurs where the other partners do not have the funds to buy out the disabled partner. Disability insurance with your buy-sell agreement provides the funds to allow your company to continue paying your salary or to completely buy your share of the business if your disability is permanent.
Business Overhead Expense is a solution which covers the day-to-day operating expenses a smaller business incurs, should there be a loss of revenue due to a business owners absence because of sickness or injury.
What would be the economic impact to your business if an employee who drives revenue couldn’t work, yet you still had to pay them?
Working with small to medium sized businesses can present big opportunities for financial professionals. Asking the right questions of a business owner will reveal the goals they have and position you to help them achieve and protect those goals.
A surprisingly large portion of business owners do not use financial professionals. In fact, almost half of all business owners surveyed said they do not use a financial professional at all, for business or personal needs.
Presenting disability solutions for businesses will impact your book of business by; deepening current client relationships while keeping competitors out, providing introductions to key high net worth employees, partners and possibly future owners while delivering overlooked value to business owners.
Your client will have the benefit of income replacement at the time of an accident or an injury which will allow you to best manage their current asset allocation and financial goals.
