Key man

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Related to Key man: Key man insurance

Key man (or woman) insurance

A life insurance policy purchased by a company to insure the life of a key executive. The company is the beneficiary in case of the executive's death.

Key Employee

A very important employee. A key employee may have contacts highly beneficial to the company, may work hard and generate more revenue than any other employee, or may have some other skill that would be difficult or impossible to replicate in another employee. Often, but not always, a key employee is a manager. A company may purchase key person insurance to protect itself against the possibility that an employee may unexpectedly die or become unable to work, which would deprive the company of his/her skills.
References in periodicals archive ?
A convertible term policy issued on a key man is still marketable.
There will also be expenses involved in finding and training a new key man including headhunting fees and a remuneration package that is at least as good as the original.
If they identify a key man, he says, they should look at it as an asset, and not a liability -- the benefit comes by simplifying the decision to terminate relations "in the off chance that an individual does get hit by a bus.
Increasingly, more banks are insisting on key man insurance for companies they are financing, according to Ashok Bablani, a senior manager at an international bank that he did not wish to name.
In short, key man insurance functions like life insurance with the company as the benefactor.
of Oman,(8) a key man discount was rejected since the decedent's sons were managing the company both before and after the father's death.
Texas law allows judges in its 254 counties to decide for themselves whether to have grand jurors chosen at random or selected by a key man - a method frequently used by judges in Austin, Dallas and Houston.
Initially, there will be panic because of the need to replace the key man quickly - followed by a period of re-adjustment during which the company will struggle on with a less-able understudy.
Damien has now amassed over 50 caps and is a key man.
This was a truly great Spain team and he was without doubt their key man.
Key man - Dan Baugh: The Welsh strugglers need a vintage performance from their crazy Canuck to inspire his colleagues.
Key man : Eduardo Prediction : Wenger is unlikely to see any of the thousands of fouls his players will commit this season.