As an employer, you need to protect yourself from many different types of potential losses and events that could occur. In additional helping your business with employee benefits, we can help you think through a plethora of other strategies to help guard your business from being impacted when certain events occur.
Are you happy with your current insurance plans? Do you have the right amounts of coverage needed for your small business? We offer free consultations to help you answer these important questions and review your options.
Business Insurance Coverage Descriptions
Key Man Insurance: Life and Disability Insurance Plans can be used to replaces the loss of a Key Employee due to death or disability.
Buy/Sell Plans (Business Continuation): These agreements allow for the orderly buyout of a partners’ business interests in the event of a death, disability or retirement.
Executive Bonus Plans: Life Insurance is a creative method that can be used to compensate key employees. Many employers offer employer-paid life insurance to key persons, and premiums paid are tax-deductible to the business.
Deferred Compensation Plans: These plans allow executives to defer current compensation in order to fund additional retirement plans. The following three types of plans are the most common and offer many advantages to both employers and employees:
- Nonqualified deferred compensation plans allow the employer to set aside funds to benefit a select group of highly compensated managers. You can design this type of program for employee pretax salary deferral, employer contributions or both. You can also specify when benefits are to be paid (e.g., after the passage of a certain number of years or at retirement).
- Executive bonus plans can be used to compensate select employees, regardless of their income and position, by paying a cash bonus to the employee or by directly purchasing an investment on the employee’s behalf. The bonus is considered a tax-deductible expense to the employer and taxable compensation for the employee.
- Executive life insurance can be offered to key employees who are highly compensated and often have unique life insurance needs. To protect their families, they need a way to replace their compensation in the event of premature death.
Retirement Plans: The most common retirement plans are 401(k)s, Profit-Sharing Plans, Defined Contribution Plans, and SEPS. A Split-Dollar Agreement is a unique type of retirement plan funded by the employer; premiums, death benefit and cash values can be set up on a “split” basis between employer and employee.
Contact us today to learn more about business insurance or request a quote.