Does Your Business Need Key-Player Insurance?
Does your business have a key employee that your company relies on? If so, you may want to consider key-player insurance. This coverage offers protection should an essential member of a company pass away. It allows your business to go on, even without that much-needed person.
Who should have key-player insurance?
You don’t have to be famous or be the owner to be a key-player in an organization. Businesses that value an individual and their hard work can benefit from key-player insurance. If you believe that your organization would be negatively impacted by the death of an employee, then consider taking out this valuable coverage. It is a small price to pay for the security of the business. Not only does it protect the business, but it shows an employee just how much you value them.
What does key-person insurance cover?
Key-person insurance lets a company buy life and disability for individual members. In this situation, the business is the beneficiary of the policy. If the insured person passes away or becomes disabled, the business receives money to transition from the loss.
Typically, it covers:
• Covering operating expenses until you find a replacement hire
• Training the replacement hire
• Offsetting lost income
• Purchasing the former owner’s ownership interest in the business
Talk to your local insurance agent if you believe you can benefit from this coverage.
As always, having the right insurance is also an important part of keeping your business’ environment and team safe. For the protection your business needs, contact Mayer Insurance in Apple Valley.