If you’ve taken out a loan to start, grow, or sustain your business, that financial responsibility doesn’t disappear if you become disabled. Business loan protection insurance ensures your loan obligations are covered if an illness or injury prevents you from working. This coverage helps protect your credit, your business’s financial health, and your personal assets from unexpected strain.
Frequently Asked Questions
What is business loan protection insurance?
It’s a policy that covers outstanding business loan payments if the insured borrower becomes disabled and can no longer work.
Who can be covered?
Owners, co-signers, or guarantors of a business loan—especially those whose work is critical to business operations and revenue.
What types of loans are eligible?
This coverage can apply to commercial loans, SBA loans, equipment financing, working capital loans, and more, depending on the policy structure.
How are benefits paid?
The insurance typically pays monthly loan payments or a lump sum to help settle the remaining balance, depending on the policy.
Can this be bundled with other business insurance?
Yes, many business owners combine loan protection with overhead expense or key person coverage for a more complete risk strategy.
Why it Matters
A loan is a promise—and your ability to repay often hinges on your ability to work. If a disability interrupts your income, loan payments don’t stop. Business loan protection insurance gives you a financial buffer, keeping your commitments on track and your business credit intact. It also prevents personal guarantees or collateral from being called in during a difficult time.
Who It's For
This policy is ideal for business owners with active loans or credit lines. Whether you’ve recently taken out financing to expand, purchase equipment, or cover operating costs, protecting those obligations ensures your hard work—and your reputation—are secure. It's especially important for sole proprietors or small businesses where the owner’s income is essential to repayment.
Don’t Let a Disability Derail Your Business Commitments
You’ve invested in your business—now protect what you’ve built. Business loan protection insurance ensures you can keep your financial promises, even when life takes an unexpected turn. With the right coverage, your business stays on solid ground.
