Key person (employee) insurance is a particular type of life insurance policy taken out by a company on one of their employees, in which the company is the beneficiary in the case of that employee’s untimely demise.
Key person insurance has attracted much praise and is encouraged by many strategic advisors. Life insurance is basically a system by which a fixed amount of money (death benefit) is paid to a beneficiary in the event that the person being insured dies. Therefore, key person life insurance is a great means of funding a business’ buy-sell agreement. Universal life policies followed by level term life insurance policies are the most common key person life insurance policies issued.
Independent Insurance Counselors offers complimentary quotes on Key Person / Employee Insurance from multiple insurance carriers so you can protect what matters most in life.