Key Person Life & Disability

Your key employees are those people with such unique skills and talents that they contribute greatly to the financial success of your business. If a key employee were to die, your business would suffer a financial loss. These are possibilities:

• With the loss of a key employee, the revenue that he or she generates may substantially decrease.
• You'll incur unexpected expenses recruiting and training a temporary or permanent replacement.
• Less capable or inexperienced employees trying to fill in can make mistakes or cause delays that cost you money.
• If a key person dies, a business loan may come due.
• Customers or even other employees may look elsewhere, because of long-term relationships with the key employee.

In determining proper coverage, putting a dollar value on a key employee's economic worth may be difficult. There are no hard rules to follow, but several possible methods to determine the insurance amount may be used. You should meet with an agent to discuss the appropriate level of coverage and options that are available.