The business interest is often the single largest asset of a closely held business owner's estate. It is often used to provide the majority of current income and support the business owner's family, as well as serve as their primary source of retirement "savings". Developing and implementing a succession plan is critical to the continued well-being of the family in the case of the death or disability of the business owner.
A life insurance policy is often the cornerstone of a business’s succession plan. When a company uses life insurance as the funding vehicle of a buy-sell agreement, the death benefits purchase a deceased partner’s share of the business from their estate
Improve your company’s ability to attract top talent and retain existing employees. Our customized employee benefit solutions can help simplify group and executive benefits such as life, accident, critical illness, or disability income insurance.
If a business owner or executive who is very important to the business dies, the company will receive the death benefit of the key person. The life insurance death benefit can provide liquidity quickly so the business can continue to meet it's financial demands after the key loss.
A business owner who has a life insurance policy can borrow against the accumulated cash value for various work-related purposes. Life insurance enjoys favorable tax treatment. Cash value withdrawals up to the total premiums paid are generally income-tax-free.