Find your future plan with affordable life insurance
Insurance
Purchasing life and/or disability insurance on your key employees can be a cost-effective way to safeguard your business and minimize the impact of a key employee’s death or disability. Life insurance and/or disability insurance can provide your business with the following advantages:
1) Funding with insurance is easy to administer.
2) Funds are available even if death or disability occurs the day after coverage begins.
3) Although the premiums are not deductible, the life insurance proceeds at death are generally received income tax-free to the business.
Funding the Future Plan
The business applies for a life insurance policy on the life of a key employee. The business is the owner and beneficiary of the policy. As policyholder, the business pays premiums to an insurance company for the policy as long as the key employee is alive and an employee. Should an insured key employee die, the death benefit proceeds from the insurance policy would pass generally income tax-free to the business, providing an immediate cash source for debt repayment, liquidity, or other related concerns.
1. How much insurance do you need?
A good rule of thumb is: Don’t insure yourself against misfortunes you can pay for yourself. Insurance is there to protect you in case of an event with overwhelming expenses. If anything short of a calamity does occur, it will usually cost you less in actual costs than the insurance premiums you would have paid.
2. What kind of policy is best?
Broader is better. Purchase insurance that will cover as many misfortunes as possible with a single policy; for example, homeowners insurance that covers not only damage to the house itself but also to its contents. Carefully examine policies that exclude coverage in certain areas, the “policy exclusions.”
3. From whom should I buy?
Always buy from a financially strong company. Take the time to shop around for the best prices with the most coverage for your specific situation. You may be able to save money by buying multiple policies from the same agent.
Safe your family with affordable life insurance. Visit http://www.roygavra.com/ and take life insurance policy for your children.
Processing your request, Please wait....
