Life Insurance · Personal & Business Protection
🛡️ Protect Your Family, Your Business, Your Legacy
Term, permanent, key person, or buy-sell — the right policy depends on your age and your stage. Here’s how it breaks down.
💼 Why does a business need life insurance, not just a family?Basics
It does two jobs at once: it replaces your income for your family, tax-free, and it protects the business itself if it depends on you to run. Without it, partners can end up co-owning the company with your estate, loans with personal guarantees can come due immediately, and the business may be forced to sell assets fast just to stay solvent.
📊 Which policy fits your age and stage?Compare
| Age | Stage | Best Fit | Avoid |
|---|---|---|---|
| 20–35 | Early career, young family, startup | 10–30yr Term | Permanent plans if cash is tight |
| 35–50 | Peak earning, growing business, mortgage | Term + Key Person/Buy-Sell | Short 10-yr terms that expire too soon |
| 50–65 | Pre-retirement, succession planning | Term extensions, Permanent | New 30-yr terms (premiums spike) |
| 65+ | Retirement, legacy, estate | Final Expense, Guaranteed Issue | Traditional long-term term |
💰 How much coverage do I actually need?Coverage
A common benchmark is 7x to 10x your annual income, plus any outstanding personal debt and mortgage balance. For business owners, add the fair market value of your equity stake if the goal is a clean succession.
🧾 Term vs. Permanent — what’s the real difference?Policy Types
Term covers you for a set period (10–30 years) and gives the most coverage for the lowest monthly cost. Permanent (Whole or Universal) covers you for life and builds cash value, but costs significantly more per month. Most people start with term and add permanent coverage later if the estate or succession picture calls for it.
🤝 What are Key Person and Buy-Sell coverage?Business
Key Person insurance is a policy the business takes out on a critical founder or executive — if that person dies, the tax-free payout goes to the business to cover lost revenue and recruiting costs. Buy-Sell coverage lets co-owners insure each other, so a surviving partner can use the payout to buy the deceased owner’s shares from their heirs at an agreed price, instead of ending up in business with a spouse or estate.
⚠️ Is the payout taxable, and can the business deduct premiums?Fine Print
Death benefits paid to personal beneficiaries are generally 100% income-tax-free under IRS Code Section 101(a). Premiums the business pays for Key Person or Buy-Sell coverage are typically not deductible, but the eventual payout is still received tax-free. Talk to a CPA for your specific structure.
Legal & Regulatory Disclaimers
Life insurance products are underwritten by individual carriers and subject to underwriting approval, medical requirements, and policy terms. Tax treatment depends on IRS rules (including Section 101) and your specific situation — consult a licensed CPA or estate planning attorney for guidance specific to your business.Know your baseline first. Many people look at a full-body scan or checkup before they apply for coverage. See the Full Body Checkup page →
General information, not medical advice. A private test is not a diagnosis.
General information, not medical advice. A private test is not a diagnosis.