Business-owned permanent life insurance

Protect your business throughout your life, leveraging its assets.

What is company-owned permanent life insurance?

As the owner of your business, you have two options when it comes to a life insurance policy: it can be owned personally or by the business.


In the event of your death, that of a partner or a key employee, life insurance provides your business with a tax-free lump sum, in addition to helping you do more with your business’ investable assets.

What types of permanent insurance are available for your business?

Although their structures are different, participating life insurance and universal life insurance both offer tax-free growth and lifetime protection.

Participating life insurance

Universal life insurance

What is the difference between these two types of life insurance?

Participating life insuranece Common characteristics Universal life insurance
Growth of sums covered within your company's policy
Life insurance protection
Management of your risk profile and choice of investment options made by you
Prudent asset management
Guaranteed premium options
Dividends paid to policyowners
Guaranteed payments
Payment flexibility

Who can be covered with company permanent life insurance?

What can company life insurance be used for?

Need for additional cash flow

Subject to state limits, life insurance can provide opportunities for tax-free growth, which your business can use as needed.

Fund a buy/sell agreement

If a death occurs, the proceeds of the insurance can be used to redeem the partners’ shares.

Protect your key personnel

You can use life insurance funds to pay off debts and pay expenses so the business can continue to operate while you find and train a suitable replacement.

Repay loans

It can allow the repayment of the balance of commercial debts and loans.

Funds not required for operation / reduce tax

In addition to reducing taxes on non-operating investments, permanent insurance can be used to diversify your portfolio.

Have any question about your business?

Our team can answer all your questions, understand your situation and help you build a plan