What is Key Man Insurance?
Key man insurance, a.k.a. key person insurance or key employee insurance is coverage that will protect company in the case of an untimely death or disability of a top salesperson, executive or business owner. Key man insurance provides peace of mind to business owners and shareholders alike knowing that the business can continue operations without major disruption in the event of the loss of a key employee. If death or disability strikes your company, key person insurance may be the difference between the company’s demise and its ultimate success. Many people and especially insurance agents themselves make the mistake of thinking key man insurance is simply life insurance. Yes, life insurance is one of necessary elements of a good key man insurance plan, but in most cases key man disability insurance is equally important. While the risk of death is always present, with most ages the risk of disability is much higher. See, “Odds of Disability” Therefore, to achieve adequate protection,
