Key person insurance, sometimes called key man insurance or key executive insurance, is designed to protect a business in the event of the death of an executive or key team member who makes a significant contribution towards the profitability or stability of the business.

To ensure the livelihood of the company, the money can be used to pay off debt and keep creditors at bay, find a replacement for the deceased, buy out the deceased’s shares in the company (buy-sell agreement), or even help to supplement the income of the deceased’s family.

Share and Enjoy:
  • Digg
  • Facebook
  • Technorati
  • del.icio.us
  • Google Bookmarks
  • LinkedIn
  • Twitter

One Response to “What is key man insurance?”

  1. aaron Says:

    Denise, I appreciate what your company has done to allow consumers to join the conversation.
    Could you please contact me as I have a question about using accuquote\’s successful blog strategy to better connect with its consumers in a book I am working on. You have all done a great job and I am hoping to use you as an example of companies that \”get it.\” Thank you.

Leave a Reply

Get Adobe Flash playerPlugin by wpburn.com wordpress themes