Key legal definition of key - Legal Dictionary
Key man insurance is insuring a key individual within your company. Get a definition of key man insurance with help from a full-time insurance professional in this free video clip.
Definition of key - The Online Slang Dictionary
Hi, my name is Susan Combs, and I'm an insurance broker for Combs and Company. Today, we're going to talk about a definition of key man insurance. So with key man insurance quite simply it is insuring a key individual within your company. So a lot of times either this is done through life insurance or it might be done with disability insurance as well. So if your company, say typically if you are you know, an executive within a company or say you have a rock star sales person that brings in 80% of your revenue for the company and say that person is hit by a bus, what are you going to do? You know, your company it would be a catastrophic loss if something were to happen to that key individual. So you want to make sure to ensure them so that if something like that were to happen you can either have the money to go out and hire somebody else that's going to replace that person or that you can have money coming in that's going to help with the cost of the bills and things like that until you can find somebody else or make a decision on if you are going to sell the business or how you are going to move forward. So the best thing to do is to talk to an insurance broker that actually focuses on life insurance and disability insurance and they will help select the plan that's going to be the best for you.