You Need Your Life Insurance When?

The old saying goes, “Lack of planning on your part doesn’t constitute an emergency on my part”. But there are times, especially with business life insurance where all the planning in the world is derailed by the unforeseen and you need an agent who can 1. In the best case foresee the problem and never let it get to the panic stage or 2. Has the tools and the knowledge to roll with last minute issues and make sure deadlines are met and life insurance is in force when it’s needed.

Unlike personal life insurance, business insurance often comes with a deadline. A bank needs the CEO of a company to have life insurance as collateral on a business loan. The loan has a closing date and changing that closing date can put projects behind schedule, lose locked in interest rates, and in some cases play into the confidence that the bank has in your company. When life insurance to fund a buy/sell business agreement for a new partnership runs into problems, it can delay for formalization of the partnership which can cause cash flow issues. It can also shake the confidence of the partner who is opening up this opportunity to be part owner of their business. Whether you’re a banker or a business partner and your experience is that getting life insurance is easy, finding out that this person you’re working with got declined or has a problem getting life insurance in a timely fashion can be, well, disconcerting at best.

And then there is occasionally that potential business opportunity that comes from no where and you simply don’t have the time to go through traditional life insurance channels to meet the need for collateral, for instance, by next week.

These examples I bring up about the role inability to provide life insurance can play in business deals is far from the rare exception. Life insurance companies are becoming slower due to downsizing and time lines that used to be normal are becoming harder and harder for companies to meet. And those are the good life insurance companies. That mixed with the problem that is as old as the industry itself, picking the wrong agent who chooses the wrong company and having a painful outcome makes for a challenging foray into the life insurance experience. And it frequently ends up with a CEO’s back against a wall. Most of the cases I work with need life insurance in place, best case within a few weeks, occasionally in as little as 3-4 working days.

Bottom line. In business there is nothing quite as good as when it all comes together the way we planned, unless maybe it’s when everything is falling apart and we get it pulled off anyway. When it comes to business life insurance Hinerman Group is your go to in both situations. If you have questions or have your back against the wall and need business life insurance quick, call or email me directly. My name is Ed Hinerman. Let’s talk.