I got a quote from my agent for Union Central for disability. The agent suggested business overhead insurance of 30K/month for another $313/month, 60 day waiting period, good for 24 months.
Good idea or bad idea in general for business overhead tied to disability?
BOE (business overhead expense) insurance is a great idea for solo and maybe two owner practices. The more owners you have, the less likely the need is.
BOE is deductible and proceeds are taxable. Think about it, it’s business overhead expense insurance to cover your business expense, like rent, if you become disabled. It allows you to maintain your office, by covering your overhead during a short-term disability. This is NOT personal disability insurance which is needed to cover your PERSONAL expenses during a disability.
The cost you mention (3,600/yr) sounds reasonable for $30k/month, 24 month coverage? As with any insurance make sure the insurance company is solid with an outstanding LONG history.