BUSINESS OVERHEAD INSURANCE

You never know when accidents or illnesses will happen – and you definitely don’t want them to affect your business. If you or a business partner were to ever require to take a disability leave, you can assure your  business will be taken care of and free from financial strain with a business overhead insurance policy.

 

WHAT IS BUSINESS OVERHEAD INSURANCE?

If you are ever unable to work due to a disabling injury or illness, having  business overhead insurance keeps you from having to pay for a variety of business expenses out of your own pocket.

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Typically, if you are running your own business or practice, the company’s wellbeing and financial security rely on the revenue you generate to sustain it. If you ever have to stop working due to a serious injury or illness, your company’s operations can come to a halt without the funds to continue functioning. Business overhead insurance  is an expense reimbursement policy that will cover the fixed monthly expenses that are necessary to keep your business running. You will receive monthly payments that function like a pay cheque from your insurance provider that you can then use to cover the costs of operation.

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These policies can typically last for a period of time up to 24 months, covering both short- and long-term disability. You can rest easy knowing that you and your business are taken care of until you can return to work. Payments will end once you’re back on your feet and able to work once again.

 

WHY IS BUSINESS OVERHEAD INSURANCE SO IMPORTANT?

Business overhead insurance is vital to the security and protection of your business or practice. You can continue to afford to run your business, even if you’re not there, until you are able to return to work or figure out what decisions to make regarding the future of your business.

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Business overhead insurance acts differently than personal disability insurance, which will only cover you and your family’s personal living expenses. Not protecting your business too can be a critical error if anything were to happen to you. Without a business overhead insurance policy in place, business owners on disability leave may not have other options than to use your personal savings to protect your company.

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You will be able to take the time you need to recover without having to worry about your business’s finances. Maintain your professional momentum, retain your loyal employees, and improve your health with business overhead insurance.

 

WHAT DOES BUSINESS OVERHEAD INSURANCE COVER?

Business overhead insurance  covers a wide variety of business operating costs. Just a few of these covered expenses can include:

• Ongoing Fixed Expenses: There are fixed monthly costs every business has to deal with that include rent, property taxes and utilities among others. These are the expenses that you typically associate with a business’s overhead.

• Salaries and Payroll Taxes: Make sure your loyal employees stick by you while you’re on disability leave. Pay their salaries and wages through business overhead insurance as well as any taxes related to payroll. It won’t typically cover the salary of temporary employees hired to do the duties of the individual on disability leave, unless under specific circumstances.

• Equipment: If your business requires certain equipment to operate, business overhead insurance will cover it. Don’t worry about the rental, lease or depreciation of your office equipment. It also covers any equipment maintenance that might be required.

• Outstanding Business Debts: If you have any eligible outstanding business debts, business overhead insurance  will cover the interest payments.
• Insurance Premiums: Business overhead insurance will cover the costs of other insurance premiums such as worker’s compensation, employee medical plans, employee taxes, general liability and professional liability/malpractice.

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The scope of your business overhead insurance  will rely on what your company or practices requires. Liberty Mutual Insurance, the GTA’s leading commercial insurance brokerage, specializes in providing our clients full coverage business overhead insurance.

 

WHO NEEDS BUSINESS OVERHEAD INSURANCE?

Anyone whose ability to generate income that will make a difference between whether the company will be open or closed for business  should have business overhead insurance. It’s designed for owners of small businesses or the main principle of a practice who are heavily involved in the day-to-day operations. This includes physicians, accountants, engineers, lawyers among other similar professions.

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In order to qualify for business overhead insurance, you need to be between the ages of 18 to about 65. You need to have been in business for at least two years and have an external office where you conduct business, as insurers typically do not grant business overhead insurance to individuals who work from home.

 

WHY GO WITH LIBERTY MUTUAL INSURANCE?

You never know what unexpected turns your life will take. Don’t leave your business unprotected without business overhead insurance.

At Liberty Mutual Insurance, we pride ourselves on providing our commitment with peace of mind and the utmost customer satisfaction. We work with a wide range of business owners to provide them with the insurance that they need. Our team of experienced experts make it our number one priority to find our clients the right insurance policy for them at the best rates.