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Professional Overhead Expense Insurance

The Dual Expenses of Disability

As a successful professional you know that if you became sick or injured and can't work, you may very well be forced to close down your business. The resulting strain on both your personal and business finances could be devastating. After all, your income is divided between two budgets!

When sickness or injury strikes, a personal disability income protection plan can help provide you and your family with the necessities of day to day living. But your overhead expenses would continue to mount up. How could you afford to keep your business running?

Guardian's Business Provider will help ensure that a disability will neither force you to lower your standard of living nor force you to close your office.

A tax advantage, too... *

The Internal Revenue Service has ruled (Rev.Rul.55-264, 1955-2 CB 11) that premiums paid for an overhead expense disability policy are tax deductible as a business expense.

While benefits received at claim time would be treated as income, such income is used to pay the deductible expenses that Business Provider covers.

Non-Cancellable This means you may renew your policy at the end of each term until you are 65. The policy is conditionally renewable for life, after age 65, as long as you are at work full time. There is no age limit.

Total Disability Benefit

Definition of Total Disability

Total Disability or Totally Disabled means that, solely due to Injury or Sickness, You are not able to perform the material and substantial duties of Your Occupation.
Definition of Residual Disability Residual Disability or Residually Disabled means that You are Gainfully Employed and You are not Totally Disabled, but solely due to Injury or Sickness, You experience a Loss of Gross Monthly Revenue that is at least 15% of Your Prior Gross Monthly Revenue: and either: (1)Your are able to perform one or more, but not all, of the material and substantial duties of Your Occupation; or (2) Your able to perform all of the material and substantial duties of Your Occupation but not for the length of time they normally require.
Future Purchase Option This rider provides for the purchase of additional amounts of Overhead Expense insurance and is available to issue at age 55 without evidence of medical insurability. The new policy(ies) will be similar to the original policy.
Covered Expenses Covered expenses include, but are not limited to: Rent or Lease Payments, property taxes, depreciation on furniture and equipment, salaries of employees who are not members of the insureds profession, utilities, premiums for business insurance, postage, trade dues & subsciptions.
Not Covered Expenses The costs of goods, merchandise, or inventory. Any expense that would be waived upon your disability. Lab fees for medical practices. Salaries & wages for the business owner.

* This publication is offered for the purpose of information and education and does not substitute for tax or legal advice.

Disability income products underwritten and issued by Berkshire Life Insurance Company of America, Pittsfield, MA, a wholly owned stock subsidiary of The Guardian Life Insurance Company of America (Guardian),New York, NY or provided by Guardian.

Product provision and features may vary from state to state.

Opes One Advisors