What is Buy-Sell Disability Buy?
Disability Buy-Out provides a lump sum, or monthly installment, or combination of lump sum and monthly installment, to fund a buy-sell agreement between two or more non-related business partners.
Target Markets
- Smaller businesses with 2 to 10 owners
- White and grey collar occupations
- Businesses not owned by spouses, parents and children or owners with large age differences
- Up to $20 million business value considered
What is an elimination period?
The elimination period is the period that must pass before benefits are payable. Typical elimination periods include 365, 540, or 740 days. The shorter the elimination period, the more costly the plan.
What is an benefit period?
The benefit period is how long benefits are payable while you are on claim. Typical benefit periods are monthly installments from 12 to 60 months, lump sum, or a combination of both.
What is the definition of Total Disability?
Most policies will consider you to be disabled if you cannot perform the substantial and material duties of your occupation, and you are not working.
What is the definition of Residual Disability?
Disability Buy-Out only pays based on total disability. There are not partial payments.