Saving You Money For Life

There are many ways in which life insurance can protect your business. Here are a few options that you many want to consider in 2009.

1. Buy-Sell agreements – If you own a business with a partner, a buy sell agreement can be funded with a life insurance policy or disability policy to allow remaining business owners to buy the company interests of a deceased owner at a previously agreed upon price.

2. Business overhead insurance – This type of insurance can reimburse a business for overhead expenses in the event that a business owner becomes totally disabled. These policies typically pay benefits for one to two years, and help cover expenses like salaries, taxes, employee benefits, rent or mortgage, utilities, equipment, etc.

3. Key Person insurance – If you have any key employees, this type of insurance may be important to your business.  Key person insurance can provide business owners with the financial flexibility to either hire a replacement or work out an alternative arrangement when a key employee dies.

4. Sole proprietors – If you’re a sole proprietor, you may want to consider purchasing a life insurance policy that covers you for the value of the company, whether or not the surviving family is able to sell it.

You can leave a response, or trackback from your own site.