KEY PERSON INSURANCE
PROTECTING YOUR BUSINESS AGAINST LOSS OF KEY EMPLOYEES
When insuring a loss through death, Key Person Life Insurance can provide an important source of revenue replacement. Further, the insurance can be designed to accumulate reserves that may be used ultimately for retirement, a termination replacement, or the retraining of successors.
SPLIT DOLLAR PLANS
Many companies design their Key Person coverage as a Split Dollar Plan which has the potential for enhanced tax treatment under the 2017 Tax Act. This is an arrangement between an employer and an employee to share the costs and benefits of a life insurance policy. These plans are widely used in gift and estate planning and can be an important part of the compensation package for key executives.
If you are ready to start planning for your business exit, then give us a call and we will help guide you through the process of cashing out of your business and moving on in style and on your terms.