The following expenses incurred in relation to the business : > Rent of business premises. > Interest on business loans.
eligible business
9. Exclusions – When Sovereign won’t pay a benefit Sovereign will not pay a benefit under this appendix for any period before being notified of a claim for this benefit. Sovereign will not pay a benefit under this appendix where any of the following directly or indirectly cause or contribute to the life assured being totally disabled : > The life assured deliberately injures himself or herself or attempts to do so. > The life assured engages in or is part of any conduct that is criminal. > Pregnancy of, or childbirth by, the life assured, unless the disability lasts for more than 90 days after the end of pregnancy, in which case the waiting period will start from the 91 st day. > The life assured does not comply with the treatment recommended by the attending treatment providers.
overheads
> The gross amount of salaries and related costs for employees who are totally unable to earn income for the business while the life assured is totally disabled . > Insurance premiums. > Cost of obtaining normal business services such as electricity, gas, water, telephone, laundry, cleaning and maintenance. > Accounting and audit fees, advertising expenses and professional subscriptions. > Equipment or motor vehicle lease costs (of an expense nature). > Depreciation of business equipment. > Any other fixed expenses that are normal and customary in the conduct of that particular business . But do not include: > Salary, fees, or any other amounts paid or payable from the business to: -- the life assured; or -- any person engaged to replace the life assured or any member of the life assured’s family unless that person or member was employed in the business for at least 30 days immediately before the disablement date . > The repayment of any mortgage or loan principal. > Any costs or expenses of a capital nature (including the cost of equipment, fittings, fixtures, furniture, and vehicles). > The cost of any trading goods or other stock.
If the life assured is imprisoned for any reason, no monthly benefit will be payable during the term of imprisonment. 10. Key terms
Working an average of more than 30 hours per week in the six months prior to the disablement date , inclusive of any periods of approved leave. The term for which the life assured is insured for the Locum Cover Disability Income Benefit as stated in the schedule . The maximum term for which the Locum Cover Disability Income Benefit is payable as stated in the schedule . The benefit payment period commences at the end of the waiting period and ceases either 12 or 24 months (whichever is stated in the schedule ) later or when the life assured reaches the end of the benefit term , whichever is the earlier. The 12 or 24 month period (whichever is stated in the schedule ) is the total period for which benefits will be payable for all claims arising from the same or a related illness or injury.
actively involved
benefit term
benefit payment
period
See Section 3 of this appendix for the meanings of these key terms.
totally disabled / total disablement
The period stated as such in the schedule for which no Locum Cover Disability Income Benefit is payable
waiting period
The business of the ‘Policy Owner’ named in the schedule .
business
The ‘Policy Owner’ named in the schedule.
you/your
The date the life assured became totally disabled .
disablement date
859 TCB-BCLC version 4 Effective 21 May 2019
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