Whether you operate a small business with you as the sole employee or you own a large company with many employees, business life insurance is a must have coverage. Just like your general liability insurance policy protects your business, business life insurance protect your business against the loss of a key person.
Real Life Situation
Martha and Keith own a sub shop in Florida with two employees. Keith runs the day-to-day operation with the two other employees, while Martha handles the books and takes care of of their two children. As with most business owners, Keith spends seven days a week running the sub shop and without him, Martha would have a tough time taking care of the children, doing the accounting and running the business.
“If something happened to Keith I would not know what do? I mean…he is at the sub shop seven days a week and works from morning to night. He is basically the business”.
That’s where Business Life Insurance comes in and fills in the gaps. Imagine if something did happen to Keith, where would Martha get the money to hire additional employees to fill in for the loss of Keith? If they had the foresight to purchase business life insurance then they would have the extra money to hire new employees.
How Does Key Person Insurance Work?
Key person insurance is a life insurance policy on a key person that works for the business. In most small businesses it is usually the owner, but it could also a key sales person or person in the event of a loss, the business would suffer.
Here is how it works. The company purchases a life insurance policy (usually a term life insurance policy) on its key employee or owner. The company pays the premiums and is beneficiary of the policy. If that key person passes away, the company would receive the proceeds from the life insurance policy. This money could be used to find the right person to fill the void of the loss of that key employee.
How Much Business Life Insurance Is Needed?
Every business is unique and every situation is unique, that’s why you need to work with a business life insurance professional to design the right insurance policy that fits your business needs. We would start by analysing your business…outstanding loans, evaluating the contributions of the key person, and the type of business that you own and operate. From there we would recommend the business life insurance type, meaning term 5, 10, 15, 20, 30, then the amount of coverage need $100,000 and up.
How Much Does Business Life Insurance Cost?
That’s the great news! Business Life Insurance has never been more affordable. Rates are at an all time low, so now is the time to consider purchasing business life insurance. Because rates vary from individual-to-individual you must contact a business life insurance consultant to find that right coverage amount for the best price.
3 Reasons to Choose Barbee Jackson Insurance of Florida for your Business Life Insurance Needs?
- More Choices from the leading business life insurance carriers
- Expert agents to help you evaluate your key person insurance needs
- Customized Policies that meet the specific needs of your state and industry
Barbee Jackson Insurance“Guarantee”
We offer a 100% FREE insurance evaluation. No risk or obligation! Our experienced staff is happy to review your current coverage and advise you on money savings ideas and coverage gaps that you may be missing.
Getting a FREE Quote is Easy
Each business life insurance policy varies greatly according to the individual needing key person insurance. It is important to work with an agent that knows your needs to match your business to the right insurance carrier. Fortunately, a Barbee Jackson Insurance agent can save you time and money by comparing options, limits, and deductibles. Do not make the mistake of thinking you have the best coverage available. Allow Barbee Jackson Insurance a chance to show you just how affordable the comprehensive coverage that you deserve can actually be. Barbee Jackson Insurance gives you unbiased advice with the coverage options you need.