Key Person Disability Insurance
The majority of companies have key people who are essential to the success of the business. Whether these people are valuable because of their expertise, power, innovation or information, losing them (even temporarily) could be incredibly detrimental to a company. Key person Disability Insurance provides crucial benefits to protect the company financially in the event that a key employee can no longer work due to a disability. Key Person coverage provides cash flow to help companies move forward and maintain a profit in the event that a key employee becomes disabled. In this situation, high limit disability insurance is invaluable.
The company could use the disability benefits to hire a temporary employee should the disabled employee's prognosis appear to be a short-term disability. In the unfortunate circumstance of a permanent disability, benefits would then be used to help defray the costs related to hiring a replacement employee, such as recruitment, training, start up, loss in revenue and unfunded salary continuation costs.