Sentences with phrase «using key man insurance»

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Not exact matches

A key man policy can also be used as an employee benefit, since the life insurance policy can be transferred to the executive or insured employee by the company.

I will leave that question to your discretion and further review as we discuss some general benefits of using mutual whole life insurance for your key man life insurance policy.

Key man insurance and buy - sell agreements are two other common uses of life insurance as an asset class.

Other uses are key man insurance, or instances where buy outs are possible.

This universal policy features a guaranteed death benefit and can be used toward key man business life insurance.

Key man insurance is used by businesses and can be a term policy, a whole life, or a universal.

Key man insurance, commonly referred to as key person insurance, is the most effective and efficient tool a business can use to guard against the death or disability of a highly valued employee or business ownKey man insurance, commonly referred to as key person insurance, is the most effective and efficient tool a business can use to guard against the death or disability of a highly valued employee or business ownkey person insurance, is the most effective and efficient tool a business can use to guard against the death or disability of a highly valued employee or business owner.

Key man insurance is another form of business use life insurance.

Return of premium insurance also can be used for business purposes such as key man insurance.

Given the high cost of permanent life insurance, and that company needs often evolve over time, term coverage is often used as key man life insurance.

A key man policy can also be used as an employee benefit, since the life insurance policy can be transferred to the executive or insured employee by the company.

Every business has certain employees who are so integral to the company's operations that it would be crippled in their absence, and so many business owners use what is known as key man insurance to guard against their loss.

This new legislation applies to all employer - owned policies issued after August 17, 2006 and includes policies used for key man insurance, stock redemption plans, Corporate Owned Life Insurance and Supplemental Executive Retirement Plans (amonginsurance, stock redemption plans, Corporate Owned Life Insurance and Supplemental Executive Retirement Plans (amongInsurance and Supplemental Executive Retirement Plans (among others).

There are two basic types of life insurance used for key man life policies: term life insurance and permanent life insurance.

Key man life insurance is a form of term life insurance used to protect a business in the event that a person who is vital to the business were to pass away.

Generally, when using a key man life insurance policy to secure a loan, a collateral assignment is utilized to ensure the bank or lending institution receives funds to cover the loan balance due in the event the key person or business owner dies.

However, an often overlooked use of key man life insurance is to provide supplemental retirement benefits to YOU, the business owner.

This use is commonly known as «key man» or «key person» insurance.

The chief reason why term insurance is used for key man policies is its low cost.

Key man life insurance is necessary even if your business plans to shut its doors after the loss of a key person; the money can be used to take care of closing costs, investor payoffs, and severance pay for employeKey man life insurance is necessary even if your business plans to shut its doors after the loss of a key person; the money can be used to take care of closing costs, investor payoffs, and severance pay for employekey person; the money can be used to take care of closing costs, investor payoffs, and severance pay for employees.

You can use the life insurance as part of a buy - sell agreement or as a key man insurance.

There are many different key man life insurance strategies that may be used.

While there are several different types of life insurance that can be used with a key man life insurance strategy, the one that is used by a certain business or company will be primarily dependent upon the situation and needs of that particular entity.

There are various types of key man life insurance coverage that may be used.

I will leave that question to your discretion and further review as we discuss some general benefits of using mutual whole life insurance for your key man life insurance policy.

Key person or key man policies are paid for by the business and in the event that a key employee passes away, the payout from the insurance policy can be used to recruit, hire, and train a new employKey person or key man policies are paid for by the business and in the event that a key employee passes away, the payout from the insurance policy can be used to recruit, hire, and train a new employkey man policies are paid for by the business and in the event that a key employee passes away, the payout from the insurance policy can be used to recruit, hire, and train a new employkey employee passes away, the payout from the insurance policy can be used to recruit, hire, and train a new employee.

Business people use low cost life insurance to protect the business in the event of the death of a key man or key employee.

In addition, Haven Life's insurance policies can't be used for business purposes, such as using them as key man insurance.

• It can be used to cover the risk of business loss due to untimely death of key persons by cash strapped enterprises as key man insurance at low cost.

I spoke with the CEO and owner of a company yesterday who was uncomfortable with the idea being pitched by Nationwide insurance of using Indexed Universal Life Insurance as a way to insure him as a key man and amass a fortune in cash value as an executive bonus for his reinsurance of using Indexed Universal Life Insurance as a way to insure him as a key man and amass a fortune in cash value as an executive bonus for his reInsurance as a way to insure him as a key man and amass a fortune in cash value as an executive bonus for his retirement.

I prefer to use the term keyperson insurance because it does not assume that the key employee must be a man.

Compensation Plans The life insurance payout from a key man policy provides an influx of cash that can be used to fund compensation plans for a company's executives.

If the company chooses to use a permanent form of life insurance for its key man life insurance coverage, it will receive both life insurance protection, along with a cash value component that is allowed to grow on a tax deferred basis over time.

From a business standpoint, life insurance is used to secure loans, set up buy - sell arrangements, key - man protection, deferred compensation, and loan money to the business for expansion, etc..

Stock After a key man dies, the life insurance death benefit can also be used to buy any stock in the company that they had previously held.

Debt Payments The life insurance payout from a key man insurance policy can be used to pay any outstanding debts, bills, loans, or unforeseen expenses.

Term is often used for court ordered life insurance decrees, key - man insurance and to function as a loan guarantee.