There are various types of business insurance policies. These policies are designed to protect the business and key personnel. This insurance policy will pay the company’s bills for a specific period of time. For example, a doctor can purchase business overhead expense insurance. This type of insurance will pay the doctors overhead expenses if he is unable to work due to an illness or disability. The business overhead policy pays the utilities, rent, wages and other expenses. Here is a closer look at a basic business insurance overhead policy.
Who It Is For?
First, the business overhead insurance policies are sold to businesses and self-employed persons. Insurance agents sell these policies to lawyers, doctors, architects, accountants, engineers and other professionals. If you own a business, you definitely need overhead insurance. For instance, Jack owns a grocery store. Jack is in a car accident and is now disable and cannot work. The overhead policy will cover his grocery store’s business expenses.
How It Works?
Next, the insurance agent will contact the business owner to find out if he or she need overhead insurance. In most cases, the insurance agent will schedule an appointment with the business owner. Then, the agent will collect data from the business owner and submit an application to the insurance company. The insurance company can approve or deny the application. If the application is approved, the insured will make monthly payments to the insurance company.
Moreover, the insured will have business overhead insurance coverage. Here is a simple case study. Mike is a dentist. He needs overhead insurance to keep the practice up and running if he becomes disable. The insurance company will pay Mike up to $50,000 a month to cover overhead expenses. Mike’s policy might be designed to pay $10,000 per month and his monthly payment may be $100.00.
Major Benefits & Types of Coverage
Remember, insurance companies develop different types of business overhead expense policies. Therefore, it is extremely important that the business owner review the policy with the insurance agent. Try to get a policy that is Non-cancelable and Guaranteed Renewable. This means that the insurance company cannot cancel your policy and they have to renew your policy as long as you make the monthly payments.
Finally, what are the benefits? You maintain your current lifestyle and your employees will continue to receive their paychecks. The business can still operate until you are able to come back to work. Also, the business is still intact. Make plans to protect your income.
Good Business Insurance
There is a myriad of kinds of business insurance policies. This kind of coverage is engineered to safeguard the business and many who are employed. It compensates the company for its bills for a certain extent of time. For instance, a physician can buy coverage for overhead expenses. This kind of insurance can provide the covered doctors with help when they need it for overhead costs should he or she be unable to work as a result of a sickness or injury. In these instances business overhead coverage will pay for such things as utility costs, office rent payments, wages, to name just a few.
Good business insurance is made available to both businesses and self-employed individuals. Insurance professionals will offer these policies to any number of professionals such as those who are in the law, medicine, architecture, accounting and engineering among others. If you are the proprietor of a business, you will surely be benefited by business overhead insurance coverage. For example, if one runs a liquor store and, perhaps, is involved in a car crash and finds himself disabled and unable to work, then this kind of overhead policy will help pay for business expenses and likely keep the business afloat.
If one requires this coverage, then an insurance professional will be in touch with the owner of the business to investigate how he or she might need overhead insurance. In most instances, the insurance representative will then arrange a meeting with the business owner. At this point data is collected from the business owner and an application to the insurance company is then submitted. The insurance company might then approve (or deny) the application. If the application is given the green light, then the policyholder simply will make monthly payments (pay his or her premiums) to the insurance provider and coverage is then in effect.
Keep in mind that insurance companies offer several different kinds of business overhead policies. Consequently it is vital that the business owner familiarize him or herself with the policy particulars in conjunction with the insurance rep. One is best served by obtaining a policy that is non-cancelable and also guaranteed for renewal. This indicates that the business is safe from the threat of arbitrary cancelation and helped by a policy that is always available as long as monthly premiums are paid.
A great benefit of this coverage is the priceless peace of mind inherent in knowing that you can be assured of uninterrupted income and a business that can be maintained even in challenging times.