Protecting My Businesses
How can we help?
Owner Benefits
Key Person Loss
You know who they are – the people in your business you count on the most. What would happen if they were suddenly lost? The personal and emotional toll would be incalculable, but the financial loss can be covered by insurance. Key Person Insurance can cover the cost of temporary personnel, recruiting and training a replacement, offsetting lost profits, or compensating shareholders for buying out the person’s business interest. We can help you set up a plan.
Executive Benefits
A company can help key executives purchase additional life insurance through an executive bonus plan. The executive owns the life insurance policy and pays the premiums, and the company “bonuses” the executive an amount equal to the premium and tax liabilities. We can help you figure out a mutually beneficial plan.
Buy-Sell Agreements
As a business owner, you’ve spent years building a valuable financial interest in your company. What happens to that value when you (or a business partner) pass away? If the answer is selling the business or your part in it, life insurance will create a sum of money at your death that can be used to pay your family or your estate the full value of your ownership interest. We can help you cover all contingencies.
Disability Insurance
How much would your business miss you if you were too sick to work? Even if you’re not the sole driving force behind your profits, bills may start piling up if you’re not holding the reins. Business Overhead Insurance can help cover rent, equipment leases, inventory costs, and even payroll while you’re recovering.
Individual Disability Insurance pays you directly once your claim is approved. You can use the money as you wish, to cover personal or family expenses. We can help you determine the amount of coverage you need and figure out the best way to minimize tax consequences.
Unneeded Policies
What is a Life Settlement?
You may have life insurance policies you bought for good reasons – business or personal — but those reasons no longer matter. Rather than letting an old policy lapse, you may be able to sell it as part of a Life Settlement.
A life settlement is the sale of an existing life policy to a third party. Proceeds are less than the death benefit but more than the cash surrender value. It can be an option for those who no longer need or want their life insurance policy or require funds for other needs.
You should consider tax consequences, your future ability to buy life insurance, the length of time needed to settle, and the costs – among other factors – before agreeing to a life settlement. It can get complicated. We can guide you through the process.
What kind of life insurance policies can be settled?
Universal Life, Guaranteed Universal Life, Survivorship Universal Life, Variable Universal Life, Convertible Term, and sometimes Whole Life.
My term policy doesn’t have cash value, so it can’t be settled, right?
Not necessarily. If your term policy is nearing the end of the term period, you may be thinking you should just let it expire. However, you may be able to sell it and use the proceeds for other needs, letting the buyer collect the death benefit.