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Business Overhead Expense Protection
Business Overhead Expenses (BOE) Insurance: Keeping the Lights On
If you’re a small business owner or a partner in a firm, you are the engine. But what happens to the business if you’re temporarily sidelined by an illness or injury? While personal disability insurance covers your mortgage and groceries, Business Overhead Expense (BOE) insurance ensures your business stays open until you return.
What is Business Overhead Expenses Insurance?
BOE is a short-term disability policy designed specifically for business owners. It reimburses you for the actual expenses required to run your company while you are unable to work. It prevents your business from folding or falling into debt during a recovery period, protecting your credit and your legacy.
What Does it Cover?
BOE typically covers the "fixed" costs that don't stop just because you did. This includes:
- Rent or Mortgage: Your office, storefront, or studio space
- Utilities: Electricity, water, heat, and internet
- Employee Salaries: Keeping your support staff paid so they don’t jump ship
- Taxes and Insurance: Property taxes and business insurance premiums
- Leased Equipment: Copiers, vehicles, or specialized machinery
- Professional Dues: Membership fees and licensing
Note: BOE generally does not cover your own salary, the salary of your replacement, or the cost of inventory.
BOE is essential for small businesses (typically 2–10 employees) and professional practitioners (doctors, lawyers, accountants, or consultants) whose personal presence is the primary driver of revenue.
Why Choose BOE?
- Avoid Liquidation: You won't have to sell off assets to pay the rent
- Retain Talent: Your employees stay secure knowing their checks will clear
- Peace of Mind: Focus entirely on your recovery without the stress of mounting business bills
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