Overhead Expense Insurance
When you're disabled, your loan repayments and business expenses don't stop
Cover your loans or business expenses while you recover from a disability
You probably have to continue repaying your student loans while you're disabled. You could have ongoing expenses such as rent and salaries that continue if you operate a business. Instead of dipping into your savings to pay the bills, use Business Overhead Insurance instead — and get more peace of mind.
Your RBC Business Overhead Expense insurance is guaranteed until age 65. As long as you pay your level premiums on time, RBC can't change the plan, increase your premiums or cancel your coverage.
Coverage is conditionally renewable after age 65 if you're working and responsible for the expenses of a business — but the benefit period and premiums are not guaranteed. After age 75, benefits are reduced by 50%.
Benefit: If you're totally disabled and are responsible for business expenses: get a minimum of $450 per month to help cover regular business expenses (up to a maximum you selected).
If you're partially disabled, you get up to 50% of the maximum payout for up to three months.
If expenses in a given month don't warrant a maximum monthly payout, the unclaimed portion can be carried forward for use in a month where expenses exceed the maximum payment.
Waiting period: choose 15, 30, 60 or 90 days
Benefit period: 15 or 24 months
If you are totally disabled for the entire benefit period and you haven't received benefits up to the lifetime maximum, benefits will be extended until that maximum has been paid out.
Premiums waived during disability: After 90 days of disability, your premiums are waived while you remain disabled. You also receive a refund of premiums paid during those 90 days.
Disability definitions are similar to those in RBC disability insurance. If you're receiving disability benefits, you generally qualify to receive business overhead expense benefits too.