How To Insure A Valuable Employee

What could happen to my business if I lost a key employee?

A key employee may be a specialist who has knowledge that is critical to your organization (such as a programmer) or he or she may be a generalist who has key contacts, is highly efficient and/or drives production or sales. Regardless, losing such a person could result in:

Can I protect my business against the loss of a key employee?

One popular method for protecting your business is life insurance. Your organization can buy coverage, often called key employee or key man insurance. Such a policy can minimize the potential for disaster since the following are among its benefits:

What if my insured key employee lives until retirement?

While the key person works for you, the life insurance can still be valuable. The cash value life insurance can:

How does Key Employee Insurance work?

Remembering that you will definitely need the help of your insurance agent and your attorney, it goes like this:

Making arrangements with an insurance or benefits professional and a lawyer is critical, since key employee insurance has legal and tax implications.

Revised 12/00

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