Income Protection
Disability insurance is designed to replace a portion of income for owners and/or employees in the event that they become injured or too sick to work. Essentially, it is a tool that is used to protect your income and that of your employees from the unexpected. Disability Insurance is another great way to increase the value of your company’s benefits package; it can also increase the appeal of your company to new hires.
What is Disability Insurance?
Individual insurance that pays a portion of lost income in addition to disability benefits that would otherwise be paid to injured employees. Disability income does not replace standard disability benefits provided by workers compensation, it pays on top of it, increasing the percentage of lost income that a disabled employee will receive.
What Makes It Different Than Workers Compensation?
Disability Insurance is not required by law and does not have to be provided to all of your employees. Plans can be created strictly for the company’s owners and key employees to prevent interruption to the company’s income in the event that a key person becomes disabled. Disability income also has a number of additional benefits that can be added to the policy.
What Are the Benefits and How Do They Help My Business?
There are a number of benefits available to you; here is a list of some of the most popular benefits:
| Benefit Type | Description |
| For Business Owners: | |
| Qualified Sick Pay Plan | Creates a plan to address the needs of employee disabilities. |
| Individual Disability Income Protection | Replaces income that is lost as the result of injury or sickness amongst the company owners. |
| Buy-Sell Agreements | Provides funds for the purchase of a partners share in the ownership in the event that they have to exit unexpectedly. |
| Business Overhead Expense | Reimburses owners for overhead expenses in the event of an injury or sickness. |
| For Employers: | |
| Disability Income Insurance | A voluntary benefit offered to employees; this benefit can be paid in full by the company. |
| Retirement Protection | Disability insurance that can replace retirement contributions for injured employees. |
| Executive Carve-Out | Offered to key executives as an extra benefit. |
Request a Disability Insurance Quote for Your Company
One of our professional agents can provide you with a custom tailored disability insurance package for your company. Click HERE to speak with a professional about how disability insurance can improve your business.
Group & Multi-Life Disability Insurance
Many highly compensated employees are denied adequate and reasonable amounts of Disability Insurance through their group long-term disability plans.
Red Rock Financial Group offers Multi-Life Disability plans to remedy this situation. We can offer premium discounts and underwriting concessions with the ability to insure up to 75% of income in participation with other Disability Insurance. We can help highly compensated people who may need $100,000 per month or more. Features and Optional Riders of the Multi-Life Plans:
- Guaranteed issue for groups of 10+ people
- Simplified Issue for groups of 5-9 people
- Cost of Living Adjustment Rider
- Residual Disability Rider
- Automatic Increase Rider
- Partial Rider
Business Overhead Expense (BOE)
BOE is an insurance product that provides a tax deductible solution to the serious business problem of maintaining the business cash flow during a period of disability. A guaranteed cash flow helps provide business stability and security to allow the disabled person to recover without the panic of how to pay for business expenses and retain trained staff. Maximum benefits from traditional carriers are often capped at $30,000 per month or less. Yet it is not uncommon to find firms with overheads that far exceed this limit. PIU is able to supplement traditional insurance with benefits as high as $250,000 per month or more.
Additionally, traditional carriers often will not even consider insuring many occupations, such as pilots and auto mechanics. Once again, Red Rock Financial Group offers the solutions to these problems.
