Have you ever considered what you would do over the long term if you became physically disabled due to an accident or sickness? Statistics show that the risk of suffering a disability is quite high, for example: 50% of those aged 35 will suffer a disability lasting more than 90 days before they attain age 65.

If you own your business, would you be able to come up with the money to pay for your ongoing business expenses and payroll? Could you afford to pay a salary for someone to run your business to achieve the same results that you do?

The objective of business overhead expense insurance is to pay the bills when you are disabled. This is over and above income paid by any personally-owned income replacement policy. You can write the premiums off. Benefits, taxable as business income, are used to pay for expenses, thus reducing that tax. Policies will cover most of these expenses:

• Accounting services
• Advertising
• Answering or beeper service
• Association fees
• Automobile expenses
• Electricity
• Employee wages
• Employee benefit contributions
• Equipment lease and rental payments
• Equipment loans
• Furniture lease payments
• Heat
• Liability insurance
• Malpractice insurance
• Mortgage payments
• Office rental fees
• Office supplies and expenses
• Payroll taxes (employees only)
• Pension contributions
• Periodical subscriptions
• Postage
• Professional dues, fees and memberships
• Real estate taxes
• Telephone
• Water