Insurance for Corporations

The Shareholders

Funding the shareholders agreement should be one of the key concerns in any company’s financial planning process, unfortunately it's an issue that is commonly swept under the rug and forgotten entirely. The shareholders agreement protects a corporation’s human capital by planning for the possibility of a shareholder dying or becoming disabled prior to selling or transitioning the business as planned. 


Our team will examine all of the elements of your existing agreement and work with your tax and legal advisors to implement an insurance solution designed to create seamless transitions for the future.


Have you considered the potential impact a disabled executive or manager would have on the company?


Key Person


Who would handle the additional work load?

Does the disabled executive continue to receive income? What about bonuses? ... and for how long?

How do you find the right replacement? How long will that take?

Where will the money come from to support these issues going forward?


Buy - Sell

Liquidity and Control

Even the most carefully drafted shareholders agreement may prove ineffective if there are no funds to purchase the disabled or deceased owner’s interest. Insurance is often the most cost-effective way to fund these obligations. This funding method offers superior tax benefits and makes the necessary capital available instantly when it is needed most.


Wrap an insurance policy around your money and invest retained earnings with peace of mind... The Private Reserve Strategy


The Corporate Estate Transfer


The corporate estate bond or transfer strategy re-allocates a portion of the corporate funds to instantly multiply the estate value with the use of a corporately owned permanent life insurance policy, eventually passing along the death benefit to the shareholders tax free.


The Private Reserve Strategy

This strategy is most suitable for business owners with excess capital and or retirees with more income or assets than necessary for their retirement lifestyle.


The insurance contract contains a tax sheltered investment component which can be used to create a private reserve account. This tax sheltered account creates  an increasing pool of capital that provides the company with liquidity, control, and uninterrupted compound growth over a long period of time. 

The fundamental feature to this strategy is collateralization. This is what allows the shareholders to take advantage of lucrative opportunities  on short notice without interrupting the compound effect within the account.

With the right structure and beneficiary designations in place, the assets would be creditor-proof. On the death of the life insured both the guaranteed death benefit and the investment component are paid tax free to the beneficiaries.

The benefits of the Corporate Estate Bond/Transfer.



Create a large and immediate estate value. Harness the power of the capital dividend.


Provides the most tax efficient premium payment method.


Take advantage of tax-sheltered cash value growth.


Have a tax-free maturity value at death.

Benefits to the Private Reserve Strategy

Provides stability, liquidity, and control, while collateral capacity potentially allows you to seize opportunities as they arise.



Earn consistent tax sheltered dividend income over the span of a lifetime.


No surrender charges or limitations on stated funds.


Have access to money when you need it most. No questions asked.


No negative returns. Your money and its earnings are vested year after year..

Invest corporate dollars and avoid losses.