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Exam term

Disability buy-out

Coverage that funds a buy-sell agreement so healthy owners can buy a disabled owner's share. It has a long elimination period, often 12 months or more, and pays as a lump sum or installments; premiums are not deductible and benefits are tax-free.

Lessons that use this term

  • Business uses of health insurance: key person, overhead expense, and disability buy-out New York

Exam prep

  • Insurance
  • Real Estate
  • SAFE MLO
  • SIE

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