Chapter 6

<body topmargin=0 leftmargin=0 marginheight=0 marginwidth=0> <table cellpadding=0 cellspacing=0 border=0><tr> <td valign="top" colspan=2 height=90 BGCOLOR="#006699" TEXT="#080000" bgproperties="fixed" background="122285a1erlcgo.gif"> <div> <FONT SIZE="5" COLOR="#FFCC66" FACE="Arial" ><B>Disability Income Insurance</B></FONT><B>     |     </B><A HREF="index.htm" TARGET="_top" TITLE="Disability Income Insurance"><U><B>home</B></U></A><B>           </B><A HREF="id16.htm" TARGET="_top" TITLE="TABLE OF CONTENTS"><U>TABLE OF CONTENTS</U></A>   |   <A HREF="id17.htm" TARGET="_top" TITLE="GLOSSARY"><U>GLOSSARY</U></A>   |   <A HREF="id66.htm" TARGET="_top" TITLE="Print Version"><U>Print Version</U></A>   |   <A HREF="id64.htm" TARGET="_top" TITLE="Review Questions"><U>Review Questions</U></A>   |   <A HREF="id18.htm" TARGET="_top" TITLE="FINAL EXAM"><U>FINAL EXAM</U></A></div> <div> <A HREF="id2.htm" TARGET="_top" TITLE="Chapter 1"><U>Chapter 1</U></A>   |   <A HREF="id3.htm" TARGET="_top" TITLE="Chapter 2"><U>Chapter 2</U></A>   |   <A HREF="id4.htm" TARGET="_top" TITLE="Chapter 3"><U>Chapter 3</U></A>   |   <A HREF="id5.htm" TARGET="_top" TITLE="Chapter 4"><U>Chapter 4</U></A>   |   <A HREF="id6.htm" TARGET="_top" TITLE="Chapter 5"><U>Chapter 5</U></A>   |   <B>Chapter 6</B>   |   <A HREF="id20.htm" TARGET="_top" TITLE="Chapter 7"><U>Chapter 7</U></A></div> <div> </div> </td> </tr><tr> <td valign="top" width=210 BGCOLOR="#FFCC66" TEXT="#080000" background="121d2c00dkelyh.gif"> <div> <A HREF="mailto:instructor@wallstreetinstructors.com" TARGET="_top" TITLE="mailto:instructor@wallstreetinstructors."><U><IMG SRC="12baf630.gif" border=0 width="175" height="99" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></U></A></div> <div> <TABLE BORDER="2" CELLPADDING="2" CELLSPACING="1" WIDTH="83" BORDERCOLORLIGHT="#C0C0C0" BORDERCOLORDARK="#808080" FRAME="BOX" RULES="ALL" ALIGN="BOTTOM" HSPACE="0" VSPACE="0" > <tR> <tD VALIGN=TOP HEIGHT= 16 ><NOBR><div> <A HREF="mailto:instructor@wallstreetinstructors.com" TARGET="_top" TITLE="mailto:instructor@wallstreetinstructors."><U>Instructor</U></A></div> </NOBR></tD> </tR> </TABLE></div> <div>  </div> <bR> <div> Copyright <FONT SIZE="2" COLOR="#000080" FACE="Arial" >©2004</FONT> Wall Street Instructors, Inc. All rights reserved. No portion of this publication may be reproduced, stored in a retrieval system, or transmitted in any form by any means electronic, mechanical, photocopying, recording or otherwise without prior written permission of Wall Street Instructors, Inc.</div> <bR> </td> <td valign="top" height=390 BGCOLOR="#FFFFFF" TEXT="#080000"> <div> <I>Chapter 6</I></div> <div> <B>Special Coverage Disability Insurance Policies</B></div> <bR> <bR> <div> The important points addressed in this lesson are:</div> <bR> <div> <IMG BORDER="0" SRC="Symb075c00b700f000000000.gif" HEIGHT="16" WIDTH="24" ALIGN="bottom" HSPACE="0" VSPACE="0">In addition to disability income insurance policies designed to replace the insured's income during disability, other disability policies provide specialty coverage for both business and non-business application</div> <bR> <div> <IMG BORDER="0" SRC="Symb075c00b700f000000000.gif" HEIGHT="16" WIDTH="24" ALIGN="bottom" HSPACE="0" VSPACE="0">Overhead Expense coverage has particular application for the small business owner or professional with both a personal and business budget</div> <bR> <div> <IMG BORDER="0" SRC="Symb075c00b700f000000000.gif" HEIGHT="16" WIDTH="24" ALIGN="bottom" HSPACE="0" VSPACE="0">Overhead Expense policies provide benefits on a reimbursement basis to pay the insured's usual and necessary business expenses</div> <bR> <div> <IMG BORDER="0" SRC="Symb075c00b700f000000000.gif" HEIGHT="16" WIDTH="24" ALIGN="bottom" HSPACE="0" VSPACE="0">Disability Buyout insurance provides benefits on an installment or lump-sum basis to fund the buy out of the business interest of a disabled partner or co-stockholder</div> <bR> <div> <IMG BORDER="0" SRC="Symb075c00b700f000000000.gif" HEIGHT="16" WIDTH="24" ALIGN="bottom" HSPACE="0" VSPACE="0">Keyperson Disability insurance provides benefits to the employer of a disabled key person to help compensate the business for its loss of the key person's skills and talents</div> <bR> <div> <IMG BORDER="0" SRC="Symb075c00b700f000000000.gif" HEIGHT="16" WIDTH="24" ALIGN="bottom" HSPACE="0" VSPACE="0">Specialty disability insurance may be purchased, on an individual or group insurance basis, that pays disability benefits only in the case of a non-occupational disability; this coverage is generally used for insureds in high risk occupations</div> <bR> <div> <IMG BORDER="0" SRC="Symb075c00b700f000000000.gif" HEIGHT="16" WIDTH="24" ALIGN="bottom" HSPACE="0" VSPACE="0">Disability insurance is available, on an individual or group insurance basis, that pays benefits based on the monthly service on outstanding debt </div> <bR> <bR> <bR> <div> <TABLE BORDER="2" CELLPADDING="1" CELLSPACING="1" WIDTH="97" BORDERCOLORLIGHT="#C0C0C0" BORDERCOLORDARK="#808080" FRAME="BOX" RULES="ALL" ALIGN="BOTTOM" HSPACE="0" VSPACE="0" BGCOLOR=#FFCC66 > <tR> <tD VALIGN=CENTER HEIGHT= 38 WIDTH="87"><div> <A HREF="id49.htm" TARGET="_top" TITLE="Businessrelated Coverage"><U><B><U>NEXT</U></B></U></A></div> </tD> </tR> </TABLE></div> <bR> <div> <A HREF="id49.htm" TARGET="_top" TITLE="Businessrelated Coverage"><U>Business-related Coverage</U></A></div> <div> <A HREF="id50.htm" TARGET="_top" TITLE="Nonbusiness Related Coverage"><U>Non-business Related Coverage</U></A></div> <div> <A HREF="id51.htm" TARGET="_top" TITLE="Chapter 6 Review"><U>Chapter 6 Review</U></A></div> <bR> <bR> </td> </tr></table></body>