A popular question we get from our clients is in regards to what key man insurance companies we use. As one of the many resources we have available to you, below you’ll find a list of many of the carriers we quote.
Key Takeaways of List of Key Man Insurance Companies We Use
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Key person insurance provides essential financial protection for businesses in the event of a key employee’s death or disability.
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The business owns the policy, pays the premiums, and receives the death benefit to help offset lost income, operating expenses, and business debt.
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Companies can choose between term life insurance and permanent life insurance, depending on financial needs, duration, and whether cash value is a factor.
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A key person insurance policy can also help in guaranteeing business loans and securing banking facilities through collateral assignment.
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Working with an insurance professional ensures proper evaluation of the insured person’s value and the claims paying ability of the chosen insurer.
Key Man Insurance Companies We Can Use
It should be noted, while this is an extensive list, we typically only provide you with the top 5 insurers for your own situation. Not every business needs are the same as the next, and the company you buy your life insurance from won’t be either. Here’s a quick reference guide of those we use:
| Transamerica Life Insurance | Mass Mutual | Pacific Life Insurance |
| Allianz Life Insurance | American Life Insurance | AXA Equitable Life Insurance |
| American General | American Mayflower | American United Life Insurance |
| American National Insurance | Bankers Life Insurance | Banner Life Insurance |
| CM Life Insurance | Cincinnati Life Insurance | Companion Life Insurance |
| Fidelity and Guaranty Life Insurance | Fidelity & Guaranty Life Ins Co of NY | Fidelity Life Association |
| First Colony | First MetLife Investors | First Penn-Pacific |
| Genworth Life Insurance Company | Guardian Life Insurance | Indianapolis Life Insurance |
| Jackson National Life Insurance | Jackson National Life | Jefferson Pilot Financial Insurance |
| Jefferson Pilot LifeAmerica | John Hancock Life Insurance Company USA | John Hancock Life Insurance Company NY |
| Liberty Life Insurance Company | Life Investors Insurance Co of America | Lincoln Benefit Life Company |
| Lincoln Life & Annuity Company of NY | Lincoln National Life Insurance Company | Massachusetts Mutual Life Insurance |
| MetLife Investors USA Insurance Company | Metropolitan Life Insurance Company | Midland National Life Insurance Company |
| New York Life Insurance Company | NYLIFE Insurance Company of Arizona | North American Co for Life and Health |
| Pacific Life Insurance Company | Penn Mutual Life Insurance Company | Principal Life Insurance Company |
| Protective Life & Annuity Insurance Co | Protective Life Insurance Company | Provident Life and Accident Assurance |
| Pruco Life Insurance Company | Pruco Life Insurance Co of New Jersey | ReliaStar Life Insurance Company |
| ReliaStar Life Insurance of New York | Savings Bank Life Insurance Co of MA | Transamerica Occidental Life Insurance |
| U.S. Financial Life Insurance Company | Union Central Life Insurance Company | United of Omaha Life Insurance Company |
| United States Life Ins in the City of NY | West Coast Life Insurance Company | William Penn Life Insurance Co of NY |
Key Factors When Choosing Your Insurance Company
When evaluating which company to work with for key person insurance, it’s not just about picking a carrier, it’s about ensuring your business is protected from major financial harm caused by the untimely death or disability of a key individual. A key person insurance coverage policy provides vital financial protection for small businesses and corporations alike, offering a policy’s death benefit to offsetting lost income, cover operating business expenses, and even support partnership interests or business continuity plans.
Purchasing key person insurance can help guarantee business loans, protect financial interests, and provide a financial cushion during uncertain times. The business owns the policy, and premiums paid are not usually tax deductible, but the insurance proceeds are often paid directly to the company. Whether selecting term life insurance or a permanent life policy with cash value, the decision depends on how much coverage is needed and whether additional disability coverage or disability insurance is required.
Frequently Asked Questions about List of Key Man Insurance Companies We Use
What Is Key Man Insurance?
Key man insurance is a life insurance policy a business takes out on a crucial employee, whose loss would significantly impact the company. These policies serve to insure an essential employee, often a senior executive or insured employee, whose absence could lead to lost sales, business debt, or delayed business projects. The business pays the premiums and is the beneficiary of the policy.
Is Key Man Insurance Worth It?
Yes, key man insurance is often worth it for businesses that rely heavily on one or two individuals. It helps provide financial stability in the event of a sudden loss, covering potential revenue loss, recruitment costs, or debt repayment.
How Much Does Key Person Life Insurance Cost?
The cost of key man insurance depends on the individual’s age, health, lifestyle, and the amount of coverage needed. On average, premiums can range from a few hundred to several thousand dollars annually.
How Much Insurance Do You Need For A Key Man?
The amount of coverage needed typically reflects the financial impact the key person has on the company. Businesses often calculate this based on lost revenue, recruitment and training costs, and time needed to recover.
Conclusion and Summary of List of Key Man Insurance Companies We Use
Most companies choose between term life or permanent life insurance based on budget, duration of need, and the monetary value the key employee brings. Some opt for key employee insurance that includes both death benefit and disability coverage options.
A key person insurance cover can also function as a tax-efficient financial tool. For example, through a collateral assignment, a key person policy can help secure banking facilities or company debts. Unlike other life insurance policies, key employee life insurance is typically structured so the company pays the premiums, is the policy owner, and receives the death benefit.
Engaging with an experienced insurance professional is critical in understanding the claims paying ability of insurers and the best strategy for your situation. Keyman insurance is an important form of business life insurance that protects your business’s financial viability in an orderly manner if a key employee dies or becomes incapacitated. Business owners should consider purchasing key person insurance not just as a safety net, but as a strategic asset for long-term financial planning.
