What is the value of your annual and future wages/income.
Lost retirement savings.
Mortgages, Credit Cards, Student Loans.
Extra daycare cost if spouse returns to work.
Kid’s college education.
Buy Sell Agreement - Life Insurance is used to buy out the deceased partner's share of the business from their estate in order to provide the family with the fair monetary value of their share of the business and to keep the remaining owners from paying out of pocket or paying out of the businesses profits.
Key Man – This is typically an estimate of the cost to replace a key person coupled with the losses or expenses incurred in the transition.
Debt Covenant – Sometimes financial institutions require life insurance on the lives of business owners and key personnel as a part of their loans covenants. The amount required is dependent on the value of the underlying obligations due to the lender.