Insure Your Key Employees
Protect Your Business
Do you own a business? Do you have 1 or 2 people who are key to making your business a success?
Often times this is the business owner or the second person in command that keeps the business running. Key person insurance is life insurance on a key employee, partner, founder on whom the continued success of the business depends on. Without that person or persons the business would fail. In this type of life insurance policy the business is the beneficiary.
In the untimely event that a key person in a company passes away and the company carries this type of person insurance policy on that particular person, the company itself would receive the death benefits.
The company can use the monetary benefits to pay for expenses until a permanent replacement person has been found or if necessary pay off any debts, pay severance to employees, pay distributions to investors, etc.
If the business is run by just you then this type of person insurance is not necessary, you would want to consider a personal life insurance policy. If you have many important people in your organization it can be a challenge to decide who exactly are the right people to insure. You want to think of those who are most important, critical for day to day operations. Who holds the company together? Who would know the ins and outs of all facets of your company?
For more information on key person insurance or to decide if you need it please contact any of our three Southwest Florida life insurance offices. We look forward to helping you protect your business!