If you're a business owner you should consider key-person insurance to protect your business from the financial impact of losing a key employee, a business partner or yourself. A Key-Person's death may lead to a loss of profit, loss of revenue, loss of valuable accounts, and difficulties in obtaining credit lines. Key-person insurance can help cover expenses, debts, and potential losses resulting from the absence of an important individual. At Life Insurance Plug we specialize in assisting small business owners by offering tailored key-person insurance policies that suit their needs, providing financial security and stability in challenging times.

Getting key-person insurance typically involves several steps:

1. Assessment:  Determine which employees are vital to the business's success and financial stability. This could include owners, founders, executives, or other key employees.

2. Valuation: Calculate the financial value of the key person's contributions to the business. This could involve assessing their role, responsibilities, expertise, and potential revenue generation.

3. Choosing Coverage Amount: At Life Insurance Plug we can help you you decide on an appropriate coverage amount. This should account for potential financial losses, debt payments, recruitment costs, and other expenses that might arise if the key person is no longer there.

4. Selecting Policy Type: We help you choose the type of key-person insurance policy that best suits your needs. 

5. Underwriting: Once we find an appropriate carrier and policy type, we guide you through the underwriting process.  The key person might need to undergo a medical examination depending on the policy and coverage amount.

6. Policy Issuance: Once the underwriting process is complete and the application is approved, the insurance provider will issue the policy.

7. Payment of Premiums: We help you set up a payment schedule for the insurance premiums that fit your needs. Premiums can typically be paid monthly, quarterly, or annually.

8. Policy Ownership: Determine who will own the policy—usually the business itself. 

9. Documentation: Keep all policy documents, including the contract, terms, and beneficiary information, in a safe and accessible place.

10. Regular Review: We schedule periodic reviews of your policy to ensure it remains aligned with the business's needs and any changes in the key person's role or responsibilities.

At Life Insurance Plug we guide small business owners through these steps, helping them understand their options, select the right policy, and navigate the entire process smoothly. Contact us today for a consultation.