Insurance That Protects Your Employees
Life insurance is typically spoken about in the realm of protecting
your family household income, but not mentioned as much in business. We’d say it
is a critical component that businesses often overlook so we look to help bridge the
gap and shore up vulnerabilities. We know that well protected businesses thrive
under adversity, so we provide the strategies and tools that allow our clients and their employees win
in all circumstances.
Life Insurance Solutions That Protect Employees
Key person insurance is simply life insurance on the key person in a business. In a small
business, this is usually the owner, the founders and perhaps a few highly coveted. They are
crucial to a business–the ones whose absence would tank the company. You should consider
implementing a key person life insurance policy on the people drive the success of your
company.
How Does it work?
Essentially what happens is this. A company purchases a life insurance policy on its key
employee(s), pays the premiums and is the business in named as the beneficiary of the policy. If
an insured person unexpectedly passes away, the company receives a tax-free death benefit equal to the policy coverage. The purpose of key person insurance is to help the company survive the setback that occurs when losing the person who is responsible for keeping the business operational. Small businesses often cannot afford to lose the major revenue producer, the subject matter expert or the director of operations. Hence the importance of life insurance coverage.
The Benefit
The company can use the insurance policy proceeds to cover a loss in revenue or operations until it can find a replacement person. Policies can additionally pay off debts, distribute money to investors, pay severance to employees and close the business down in an orderly manner. In a tragic situation, key person insurance does give a company a viable alternative to filing for
bankruptcy.
Insurance Solutions For Your Business
Group Insurance Options For Employees All Employees
Employers trying to entice workers to remain loyal may want to focus their efforts on providing benefits which are simply too good to surrender. The overall goal is to keep your employee happy and keep them focused on being productive in your company, not someone else’s. You don’t necessarily have to throw more dollars toward benefits. By being creative, you may be able to offer more coverage for a lower cost.
Life Insurance Options
Accident Insurance
Short-Term Disability provides income replacement for injuries or illnesses that result in a temporarily losing the ability to work. An employee and executives can receive up to 60% of their regular income (including commissions & bonuses). Typically benefits generally provides coverage for several week up but not exceeding 1 whole year.
Key Employee Insurance
Short-Term Disability provides income replacement for injuries or illnesses that result in a temporarily losing the ability to work. An employee and executives can receive up to 60% of their regular income (including commissions & bonuses). Typically benefits generally provides coverage for several week up but not exceeding 1 whole year.
Term Insurance
Serious illnesses and injuries can cause dramatic changes in health and result in long recovery times plus the loss of the ability to work entirely. Supplemental income may need to be established for several years in some cases.
Whole Life Insurance
Another form of short term disability insurance that allows employees to take time off from work to care for a new child and not miss out on income while away from work.
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