Protect your business against the loss of one of your most vital assets: key employees

Key people are vital to the success of your business. A Key Person Life Insurance Program can provide the funds you need to keep your business running smoothly after you've lost a key employee through death or employee turnover.

How Key Person Life Insurance Works:

The employer pays premiums for a life insurance policy on the Key employees's life. The employer is the owner and beneficiary.

The employer can arrange an Exchange of Insurance Agreement to reduce losses if a key employee leaves prior to retirement. This allows the employer to transfer coverage to a successor.

If a key employee dies, the employer receives the policy's income tax-free death benefit** and can apply it towards business expenses or losses caused by the employee's death.

If you employ anyone whose sudden, unexpected absence would significantly impact your business, consult with your life insurance agent and financial professionals about Key Person Life Insurance.



 *Financial Advisors do not provide specific tax, legal advice and this information should not be considered as such. You should always consult your tax/legal advisor regarding your own specific tax/legal situation.

** Subject to the corporate alternative minimum tax for C corporations.