This is a sample of a Business Overhead Protector policy. It is not an actual contract. Some provisions may vary in some states.
Page 4 B123.2(2/99)
DEFINITIONS
AGE 65 - The Policy Anniversary on or next following Your 65th birthday.
BASE AMOUNT - The Base Amount is shown on the data page.
COMMENCEMENT DATE - This date is shown on the data page.
CONTINUOUS DISABILITY - Recurrent periods of Disability from the same cause or causes
are one period of Continuous Disability if separated by Your recovery of less than six months.
Recovery means You are no longer Disabled from the same cause or causes.
CONCURRENT DISABILITY - If a Disability is caused by more than one Injury or Sickness, or
from a combination, it is a Concurrent Disability. We will pay benefits for a Concurrent Disability
as if there was only one Injury or Sickness. In no event will You be considered to have more
than one Disability at the same time. Once a continuous period of Disability starts, it will be one
period of Continuous Disability no matter what Injuries or Sicknesses, or how many, cause the
Disability or cause it to continue.
COVERED EXPENSES - Your share of business expenses incurred or allocable in Your regular
occupation on or after the Commencement Date that are ordinary and necessary in the operation
of Your business or profession. We will use either the cash or accrual accounting method to
determine Covered Expenses. The accounting method used will be the method You are using
in Your business or profession on the date You become Disabled. The expenses We cover are:
1. Salary, fees, and wages paid to or on behalf of employees, excluding those paid to:
a. A Family Member who has not been continuously employed by You or Your business
during the 60 day period immediately prior to the date You become Disabled; or
b. Any person sharing expenses of Your business or profession; or
c. Any person hired to perform Your duties; and
2. Employer-paid portions of FICA, other employment taxes, and benefits paid to or on
behalf of employees for which salary, fees and wages are covered; and
3. Rent and lease payments for furniture, equipment, and premises to the extent used or
occupied by Your business; and
4. Utility costs, including telephone, electricity, heat, and water; and
5. Laundry, janitorial, and maintenance service costs; and
6. Legal, accounting, auditing, billing, collection, and license fees; and
7. Property, liability, malpractice, and business insurance premiums which have not been
waived due to Your Disability; and
8. Professional, trade, and association dues; and
9. Interest due on business debt existing on the date You become Disabled; and
10. Depreciation or scheduled installment payments of principal on business loans as they
come due (one or the other but not both on the same property), on business property
owned on the date You become Disabled, whichever is greater; and
11. Business property taxes; and
12. Business supplies, postage, and association and trade subscriptions existing on the date
You become Disabled, excluding any product purchased for resale.