Keyman insurance is generally known as standard life insurance. Companies may have a key person that is giving the business valuable contributions, so they put keyman insurance in place to obtain a lump sum amount in case this employee or partner dies.
Under this type of policy business owners (keyman) protect each others lives against death. Or if an employer receives a lump sum it enables a key person to be replaced by offering a more attractive salary to attract an experienced person to the company.
Keyman cover provides peace of mind for each business partner knowing that if an owner dies, the surviving owner(s) will have sufficient funds available to buy out the business from the deceased spouse or family, ensuring the business remains viable and does not need to be sold.
Speak to a qualified broker today on 1300 276 628