Key Person Benefits
Typical Group Life and Disability insurance offered to employees usually only cover a fraction of a key executive’s high income. Accordingly, by providing a customized benefit package to wrap around the group plan for key executives, you are not only protecting the executive and his/her family, but also the business in the event of a sudden critical illness or death. Thus, supplemental life insurance and/or carve out disability are perfect examples of executive benefits. If structured properly to avoid taxation at the time of claim, the benefits can be tax free. Following are some more specific examples of Key-Person Executive Benefits.