Keeping the Lights On at Growing Businesses
The Principal introduces new overhead expense insurance policy
April 5, 2011 (Des Moines, Iowa) – Business owners report protecting their business is their top priority according to a recent study conducted by Harris Interactive for the Principal Financial Group®. A new overhead expense insurance policy from The Principal® protects businesses by providing reimbursement for business expenses if the owner becomes too sick or hurt to work.
Overhead expense is a disability insurance policy that provides a business owner with needed funds to pay the immediate costs of keeping a business open if the owner becomes disabled. Each month the owner is unable to work, the policy provides reimbursement for bills associated with running the business such as utilities and property taxes.
“For growing businesses, the ability for the owner to work is critical to the bottom line. An overhead expense insurance policy helps keep the doors open to the business when the owner becomes disabled,” said Kevin Farley, vice president of individual disability for the Principal Financial Group. “By continuing to pay the bills, the business maintains goodwill with customers, vendors and creditors. The owner can return to work at a financially sound business or sell the business if the owner is unable to return to work.”
Several features including lower new issue rates, revised definitions of disability and new benefit factors make this policy ideal for business protection. A newly added Advance Benefit, which provides payment of the first monthly benefit without required expense documentation, creates less paperwork and saves time for the owner.
“With our expertise in working with business owners and our suite of individual disability insurance options, we give advisors all the necessary tools to help their business owner clients build a strong financial foundation and protect against the unexpected,” notes Farley.
For more news and insights from The Principal, connect with us on Twitter at: http://twitter.com/ThePrincipal.
About the Principal Financial Group
The Principal Financial Group® (The Principal ®) is a leader in offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement and investment services, life and health insurance, and banking through its diverse family of financial services companies. A member of the Fortune 500, the Principal Financial Group has $318.8 billion in assets under management and serves some 19.1 million customers worldwide from offices in Asia, Australia, Europe, Latin America and the United States. Principal Financial Group, Inc. is traded on the New York Stock Exchange under the ticker symbol PFG.
Disability Insurance issued by Principal Life Insurance Company, Des Moines, IA 50392.
- Survey of 511 business owners, conducted online by Harris Interactive, July/August 2010.
- "The Principal Financial Group" and "The Principal" are registered service marks of Principal Financial Services, Inc., a member of the Principal Financial Group.
- The Principal announced on Sept. 30, 2010 that it will exit the medical insurance business and entered into an agreement with United Healthcare to renew medical insurance coverage for customers as the business transitions over 36 months.
- As of Dec. 31, 2010.