Key Person Life Insurance & Business Continuation

As a business owner, you’ve put your heart and soul into making sure your business is successful. While you might not realize it, life insurance may be able to help ensure your business continues to thrive. Life insurance planning can help with transitioning ownership if it ever becomes necessary and help attract and retain key employees to protect the future of your business. It can also help you plan for your own retirement. 

Smart Ways To Help Protect Your Business

It’s hard to think about what it would mean to lose a business partner or key employee. How would your business survive? Unfortunately, bad things do happen, so it’s smart to be prepared and protect your business.

Erie Family Life can help with life insurance solutions for funding business continuation plans, key person protection and even employee benefits like deferred compensation and executive bonus plans.

Review the chart below and then talk to your local, knowledgeable ERIE agent to learn more about how ERIE’s life insurance products can help protect and provide for your business.[1]

Business Need & COverage

What it does

Who needs it

Benefits

Business Need & COverage
Business Continuation — using life insurance for a Buy-Sell Agreement

What it does

A contract that enables a seamless transfer of ownership if an owner passes away.

Who needs it

Anyone who shares ownership of a business with one or more owners.

Benefits

Saves your business from disruption and provides a smooth transition of ownership.
Business Need & COverage
Key Person Protection

What it does

Provides financial assistance to a business following the death of a key employee or owner.

Who needs it

Any business that relies on the talents and skills of key employees such as an executive officer, general manager, sales manager or a contributor with unique skills or technical knowledge.

Benefits

Protects your investment in employees who are crucial to your business. Covers financial losses or temporary expenses if a key person passes away.
Business Need & COverage
Deferred Compensation Plan

What it does

Provides an insurance-based retirement plan for select key employees through a life insurance policy that is purchased by the business owner.

Who needs it

Any business owner who wants to attract and retain key employees.

Benefits

Tax-deferred life insurance policy accumulates cash value, can provide income later in life and provides a tax-free death benefit for the employee’s beneficiaries. The business owner chooses which employees receive this plan.
Business Need & COverage
Executive Bonus Plan

What it does

Provides individual life insurance to help protect the families of select key employees. At retirement, the employee may use policy’s cash value as supplemental retirement income or continue the life insurance coverage.

Who needs it

Any business owner looking to recruit strong candidates, retain expert employees and design a benefit plan with tax-deductible costs.

Benefits

Retain the talent your business needs to thrive. An easy, cost-effective benefit program to offer employees. The business owner chooses which employees receive this plan.
Business Need & COverage
Business Loans

What it does

Provides insurance protection to pay off business or personal loans used for business purposes.

Who needs it

Business owners with loans on property, fleet vehicles, inventory or for paying debt.

Benefits

Having life insurance to relieve the business of debt allows for easier transition or sale of a business upon an owners death.

Business Planning Made Easy

Erie Family Life offers a complete line of products to help you prepare for the unexpected both at home and for your business.

Contact an ERIE agent today for more information, to request a life insurance quote or schedule an appointment. Our agents are licensed professionals, who have extensive product knowledge and can help you make important decisions about your insurance coverage.

  1. 1. 
    Neither Erie Family Life nor its agent representatives give tax or legal advice. Please consult your attorney or tax advisor for answers to tax-related questions. ERIE® life insurance products and services are provided by Erie Family Life Insurance Company, a member of Erie Insurance Group, and are not available in New York. See individual policies for specific coverage details. Certain terms and limitations may apply. Refer to our disclaimer for additional information.
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