Insurance for Small Business Owners


Small business owners, contractors and freelancers usually make all the major decisions for their businesses — and often do all of the work, too. The success of their companies and continuity of their income depend heavily on one person’s well-being: a significant risk.

But the right insurance coverage can help your business survive if something happens to you.

Why should small business owners have life insurance coverage?

Should you become seriously disabled or die from an illness or injury, your business could suffer a major setback.

Disability insurance could replace a portion of your income so you can meet your personal expenses while you recover.

And life insurance could give your beneficiaries the capital needed to keep the business running. It could also provide death benefits for your surviving relatives or enable a business partner to buy your share of the company.

Key person insurance

Do you have employees? Key person insurance is a type of life insurance that pays benefits to the business when a key employee or business owner dies. The money can support continued operations until someone else can take the helm or until other arrangements, such as selling the business, can be made.

Health insurance options for small business owners

One choice might be coverage through a spouse, a partner or, if you’re under 26, a parent. You could also look for coverage through the health insurance marketplace.

One marketplace option you might have is a high-deductible health plan. It will have lower monthly premiums but require you to spend more out of pocket before coinsurance kicks in. However, you’ll also be allowed to open a health savings account. An HSA lets you use pretax dollars to save up and pay for healthcare.

If you need help choosing the right health and life insurance for your situation, reach out anytime.

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