Ornellas Insurance (+1-916-804-9888) can help protect the bottom line of agricultural companies in Roseville, CA with key man life insurance.
A wise man once said: “Agriculturists are heroes; they feed the world.”
As your best and brightest executives gain experience, they also advance in years. Ornellas Insurance offers key person life insurance so you can protect your agriculture business should untoward events happen to your pivotal employees.
Learn more at https://ornellasinsurance.com/executive-benefits/
CEO Helen Ornellas explains that if your company takes out key person life insurance, your business will be the designated recipient of the deceased’s benefits. This sum can then be used to cover costs related to recruiting and training a replacement, as well as to repay business debts taken out in the executive’s name.
Aside from being a personal tragedy, the loss of an experienced agriculture executive can also have a severe impact on your business’ finances. Indeed, one consulting firm estimates that the cost of replacing a key person can be as much as 200% to 300% of their salary — a heavy toll to pay, especially if you run a small or mid-sized agribusiness.
Ornellas Insurance allows you to add key person coverage in your executive benefits packages to shield your bottom line from such unexpected costs. The CEO notes that this package offers three key benefits.
Key person life insurance can help mitigate your lost profits, especially if the deceased had an important role in sales or marketing. The payout gives you a financial buffer until you can find an equally qualified professional who can take over these two crucial business development responsibilities.
More likely than not, your high-level executives are signatories to debt agreements. Key person insurance can also have loan guarantees, so the death benefit can cover the balance, protecting your business’ money reserves and preventing cash flow issues.
If a key person also happens to be a shareholder, the death benefit may be used to buy out the deceased’s shares. This ensures that control of your venture remains with the founding partners, instead of being passed on to heirs.
Ornellas says: “The death of an executive is never easy. With key person insurance, however, you can promote business continuity even as your company grieves.”
No matter what lies ahead, key man insurance can mitigate the risks your company might face.
For a full list of benefits included in Ornellas Insurance’s executive benefits program, go to https://ornellasinsurance.com/executive-benefits/
