Key Person Insurance
Every business has people whose absence would create significant hardship—owners, partners, top salespeople, or technical experts. Key person insurance provides the financial bridge to survive and recover from their loss.
Protect Your Business from Unexpected Loss
What is key person insurance?
Every business has people whose absence would create significant hardship—owners, partners, top salespeople, or technical experts. Key person insurance provides the financial bridge to survive and recover from their loss.
Quick Reference
Is this right for you?
Small business owners
Funds to keep operations running while you search for a replacement, train successors, or adjust business operations.
Professional partnerships
Replace lost revenue from key salespeople, client relationships, or business-generating individuals.
Companies with key salespeople
Pay off business loans or lines of credit that may be called if a key person dies or becomes disabled.
Businesses with technical experts
Cover the substantial costs of recruiting, hiring, and training a replacement for specialized positions.
Startups with essential founders
Explore this coverage option.
Companies with bank financing
Explore this coverage option.
How it works
Key Person Identification
We help identify whose loss would significantly impact your business and quantify that impact.
Coverage Calculation
Determine appropriate coverage based on revenue impact, replacement costs, and debt obligations.
Policy Structure
Design the ownership and beneficiary structure for optimal tax treatment and business protection.
Implementation
Place coverage and document the business purpose for proper accounting and tax treatment.
What to expect
What This Covers
- Life insurance for key employees
- Disability coverage options
- Critical illness coverage available
- Business-owned policies
- Coverage amounts tailored to impact
- Term or permanent options
- Multiple key person coverage
- Buy-sell agreement funding
×Common Exclusions
- ×Pre-existing conditions (waiting periods may apply)
- ×Material misrepresentation on application
- ×Conditions outside policy terms
Protecting Ontario families with thoughtful coverage since 1999.
How we compare
As an independent broker, Michael compares policies across multiple carriers to find the best coverage and pricing for your specific situation.
Working with an independent broker means seeing the full market — not just what one insurance company wants to sell you.
Frequently asked
Common approaches include: multiple of the person's compensation (5-10x salary), percentage of company revenue they generate, replacement and training costs, or outstanding business debts. We help calculate the right amount for your situation.
The business owns the policy and is the beneficiary. This provides funds directly to the company when needed, rather than to the key person's estate.
Generally, key person insurance premiums are not tax-deductible. However, the death benefit is typically received tax-free by the business. We recommend consulting with your accountant on the specific tax implications for your situation.
Absolutely. Many businesses insure multiple key people—owners, partners, essential employees. Each person's coverage is based on their individual impact on the business.
You can cancel the policy, transfer ownership to the departing employee as part of their exit package, or maintain coverage if they remain significant (as with a former owner who holds shares).
Let's discuss key person insurance.
Reach out for a private consultation — no obligation.