Protect Your Company from the Loss of a Key Employee
While all employees contribute to the success of your business in some way, there are those employee that just can’t be replaced. That’s why it’s important to have an insurance policy that will help keep a business afloat even without its most valuable employees. Key person insurance is a simple, efficient way to provide your business with the liquidity needed to handle the loss of a key employee and recruit and train a replacement.
With key person insurance, your business buys a life insurance policy on the life of the valuable employee. Your business is the owner and beneficiary, and pays the premium insuring the key employee. Upon death, your business will receive the entire death benefit, and the key employee does not have any interest in the policy.
- provides a safeguard for your business to continue running;
- replaces lost revenue until an employee replacement is found;
- covers costs of temporary staffing, hiring, and training a new employee; and
- provides your business with a valuable asset on the balance sheet
The CBIZ Difference
Key person life insurance is simple to set up and easy to implement and should be considered by a business whose day-to-day and long-term performance may be in jeopardy if something happens to one of its vital employees. CBIZ Life Insurance Solutions understands that protecting your employees and your business is critical.