Posted by Amy Carbone on Jan 16, 2023 9:00:00 AM
Actively building and maintaining your dental practice over time is vital for continuous growth. But sometimes, unexpected situations can cause us to need assistance with maintaining income, paying loans, and more.
This is where dentists could benefit from certain insurance policies, including:
- Business loan protection coverage.
- Disability income insurance.
- Business overhead insurance.
These policies can provide a safeguard for you and your career by providing you with financial coverage. Below, we’re going to discuss the benefits of business loan protection insurance and how it can protect your dental practice during difficult situations.
What Is Business Loan Protection Insurance?
Business loan protection is an insurance policy that allows individuals with practice loans to continue making payments in situations when they are out of work due to an injury or illness.
Even in the face of uncertainty, this policy can provide you with the financial stability necessary to allow you to continue to make your covered practice loan payments.
What Are the Benefits of a Business Loan Protection Policy?
If you are out of work due to an injury or illness, it may be challenging — or even impossible — for you to earn enough to continue covering all of your business expenses. A business loan protection policy helps you cover your monthly business-related loan payments if you are unable to make the payments.
How Do You Know if You Need This Policy?
A business loan protection policy pays benefits if you’re too sick or injured to continue working, which makes it a natural complement to other policies, such as disability income insurance.
When used together, your disability income insurance can continue paying you a salary, and your business loan protection insurance can cover the payments for your business loans. As a result, you can worry less about making ends meet with your business and focus more on recovering from your injury or illness.
If you are obtaining funding from a bank to start or purchase a practice, the bank may ask for disability insurance as a way to secure the loan in the event of your disability. Business loan protection disability insurance allows you to satisfy the bank's disability insurance requirement while preserving your personal disability insurance for just that, your day to day personal expenses.
If you’re uncertain whether or not this policy would benefit you during your career, it’s important to speak with an insurance professional who has experience working with dentists.
Are There Different Ways To Obtain a Business Loan Protection Policy?
Business loan protection insurance, depending on the insurance company, may be purchased as a stand alone policy or may be a rider on a business overhead expense disability policy. In addition to debt service, practice owners are faced with having to pay ongoing operational expenses if they are disabled such as salaries, rent etc. Business overhead expense insurance is typically used to cover these expenses.
In any event, you should speak with an insurance professional who has experience working with dentists to help structure your business loan protection policy.
Financial Security — Even in Situations Filled With Uncertainty
The right policies can help protect you, your practice, and your financial well being during times of illness or injury. This security allows you to focus on recovering, rather than worrying about loan payments and the day-to-day operations of your practice.
Contact us today to find out how the right business loan protection coverage can provide you with financial security during uncertain situations.
About Treloar & Heisel
Treloar & Heisel offers dental and medical professionals a comprehensive suite of financial products and services ranging from business and personal insurance to wealth management. We are proud to assist thousands of clients from residency to practice and through retirement. Our experienced teams deliver custom-tailored advice through an active local presence, while our strong national network ensures that clients experience the same high level of service throughout the country.