Life Insurance for Business Owners
As part of your business planning, you need to consider what would happen to your company if you or your partners were to pass away. Insurance services are more than just pieces of paper that you file away in case something should happen. Life insurance can:
- Protect your family’s future
- Protect your wealth
- Provide business continuation.
- Supplement income
Key Person Insurance
Key person insurance provides death benefits to the business once an owner passes away. This type of plan is useful in cases where the business’ reputation and finances are acutely linked to the business owner and could suffer from their passing.
As a sole proprietor, you will want enough coverage to pay off any company debts. If you are the owner of a larger business, you may want to look into key person insurance for your top employees as well.
An insured buy-sell agreement is a critical document that would be responsible for the continuation of the business should something happen to one of the owners. It also provides funds for a succession plan, whatever that plan may be.
If your family wants to be able to buy your shares in the company, then the buy-sell agreement provides the funds for that to happen. It may also be used to offset any leftover business debt and lawsuits.
You spend years of your life putting together your business and making it into a success. The last thing you want to do is have that success stripped from your family if something were to unexpectedly happen to you. That is why TCE will get involved in all of the negotiations for you and make sure that your family business is preserved. Contact us today to get started.