Call (306) 693-7640 ☰ ˟
Client Login My SGI
Logo
Call
(306) 693-7640
  • Home
  • About
    • About Us
    • Privacy Policy
    • Refer a Friend
    • Testimonials
    • Terms & Conditions
  • Insurance Services
    • Automobile
    • Business
    • Commercial Auto
    • Contractors
    • Disability
    • General Liability
    • Homeowners
    • Life
    • Trucking
    • Tenants
  • Instant Quote
    • Annuities
    • Automobile
    • Business
    • Commercial Auto
    • Condo
    • Contractors
    • Critical Illness
    • Disability
    • Employee Benefits
    • General Liability
    • Group Pension
    • Health & Dental
    • Homeowners
    • Life
    • Non-Medical
    • Renter/Tenant
    • Trucking
  • Clickable Coverage
  • Free Newsletter
  • Blog
  • Ask The Expert
  • Contact
    • Contact Us
    • Join Our Team
    • Location
Home Insurance Auto Insurance Business Insurance Trucking Insurance
Home > Blog > The Value Of Key Person Life Insurance
WEDNESDAY, JUNE 20, 2018

The Value Of Key Person Life Insurance

Legos At Work>As a small business owner, you may employ at least one individual who is essential to your success. This person may be a partner or have a unique expertise that's unmatched.

 

If this person's exit from the business is planned, you can prepare for the loss and take the necessary steps to minimize the impact. However, if the departure is unplanned, then your business can be exposed to financial risks.

In this scenario, key person life insurance can protect your business. Here's how it works:

  • You purchase life insurance on the key individual(s).
  • You are the beneficiary of the life insurance policy, and apply for and own the policy. If the key employee dies prematurely, the policy pays out to you.
  • Tax-free funds from the policy can be put towards finding, hiring and training a replacement employee. These funds can also be used as compensation for lost business during the transition and financing timely business transactions.
  • The policy can be transferred to a departing key employee as a retirement benefit, or to a different key individual upon the retirement of the original key employee.
  • The policy can be used to buy out the key employee's shares or interest in the business.

Premiums for the policy are based on several factors, including the key employee's age, physical condition and medical history. The amount of coverage also affects the insurance rate.

Contact Heritage Insurance today about your key person plan.

 

Contact Us

Posted 9:00 AM

Tags: life insurance, business insurance, key person life insurance, insurance, coverage, protection, heritage insurance
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012
  • 2011
  • 2010

  • insurance(425)
  • heritage insurance(408)
  • moose jaw(309)
  • saskatchewan(286)
  • ask the expert(223)
  • greg marcyniuk(222)
  • safety(202)
  • customer service(180)
  • information(178)
  • personal(178)
  • full service(175)
  • tips(149)
  • business(134)
  • coverage(133)
  • community(129)
  • sask vehicle registration(110)
  • home insurance(106)
  • protection(76)
  • auto insurance(64)
  • car insurance(57)
  • home(50)
  • business insurance(50)
  • life insurance(49)
  • regina(44)
  • winter(37)
  • house(32)
  • auto(32)
  • driving(30)
  • car(26)
  • summer(24)
  • policy(24)
  • liability(23)
  • prevention(23)
  • moose jaw insurance(21)
  • advice(20)
  • trucking insurance(19)
  • snow(19)
  • family(19)
  • homeowners(17)
  • accident(16)
  • weather(15)
  • vehicle(15)
  • moose jaw sk insurance(15)
  • claims(14)
  • russ macdonald(14)
  • spring(14)
  • commercial(13)
  • seasonal(13)
  • ice(13)
  • children(12)

View Mobile Version
App Download
Download our Mobile App Today
Logo
LinkedIn Facebook Twitter YouTube Google+
Site Links
Home
About Us
Refer A Friend
Free Newsletter Testimonials
Blog
Ask The Expert
Contact
Privacy Policy
Terms & Conditions
Heritage Insurance Ltd., Insurance Services Office, Moose Jaw, SK
Heritage Insurance Ltd
© Copyright 2021. All rights reserved. Powered by Insurance Website Builder.