Thinking Through Key Person Life Insurance
Key Person Life Insurance is a planning tool that many business owners and advisors spend too little time and attention on. Careful planning includes an analysis of:
- Who is truly “key” to the company’s ongoing operations and success?
- What is the risk or potential harm to the business if a key person dies?
- During what period of time is it appropriate to insure against the risk of loss?
- What will happen if a key person departs for a reason other than death?
Key Person Life Insurance is an important tool that should not be overlooked or oversimplified. Learn more about the use of this strategy in Exit Planning by listening to the Key Person Life Insurance Webcast on the BEI Member Center.