Which of the following best represents what a Business Overhead Expense policy covers?

A Business Overhead Expense policy is designed specifically to cover the ongoing operational costs of a business when the owner becomes disabled and unable to work. This type of insurance typically includes expenses that are necessary to keep the business running, such as staff salaries, office rent, and utility bills.

The significance of staff, rent, and utilities lies in the fact that these are fixed costs that a business may incur regardless of whether the owner is able to actively manage the operations. The policy aids in ensuring that the business can continue to meet its financial obligations during a period of disability, thereby preserving its value and functionality until the owner can return to work.

On the other hand, legal fees and expenses, employee health benefits, and machinery repair costs, while important to various aspects of business operations, do not align with the core purpose of Business Overhead Expense insurance, which focuses on sustaining the essential overhead costs necessary to maintain business continuity during the owner's temporary inability to manage due to health reasons.