Key man life insurance is, to put it simply, life insurance that’s placed on a key person by a business. It protects the business from financial loss in case of the death of the key person.
The main difference between a traditional life insurance policy and a key man life insurance policy is that in a key man insurance policy the business is the owner, payer, and beneficiary of the plan.
Do You Need Key Man Life Insurance?
When you start a small business or are self-employed, you are the key man—even if you’re a woman.
You may have investors such as family and friends who would be financially affected if you were to die before they saw a return on their investment.
That’s because when you start a small business, you wear all of the hats. You’re the:
In short, for anything your business requires, you are the person in charge. And if you die … Read More