What is Key Man Insurance and Why do I Need it?

Life insurance policies. Most people don’t enjoy thinking about them, and the idea of talking about them is even more painstaking. But having a life insurance policy (often called Key Man Insurance) on the owners and key employees is a financial move that many business owners don’t want to consider but should. Key man insurance’ means the same thing as key person insurance and refers to insurance policies that protect businesses from the loss of a key individual – men and women – who are unable to work due to a critical or terminal illness, or have passed away during the length of a policy.



We recommend a term policy for a minimum of 15 years as this is the least expensive option to purchase. There are other options such as a Return of Premium rider which will pay the owner of the policy back for all premiums once the policy reaches the end of its term that can often be discussed as well. In addition, there are accelerated benefit riders which will pay out if an insured is incapacitated due to illness. All options should be discussed prior to purchasing a policy for your business.



We’re here to help you plan for the unexpected and put you and your company in the best possible situation to succeed.

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