6 Best Key Person Insurance Companies

We chose Lincoln Financial as the best overall key person insurance provider because of the company’s robust coverage options, high coverage limits, great financial strength, and longstanding experience in the life insurance industry.

Lincoln Financial offers term life insurance, universal life insurance, indexed universal life insurance, and variable universal life insurance that can be written as a key person insurance policy. There are several riders available, including a change of insured rider and a total disability rider, which can be added to any permanent life insurance policy.

With key person insurance from Lincoln Financial, you can use the death benefit to supplement business income, pay off loans, and fund company transitions when the insured individual passes away. The proceeds can also be used to recruit and train a replacement if the business continues to operate.

One of the downsides of Lincoln Financial is that the policies tend to be expensive, especially if your company needs a high amount of coverage. You’ll need to contact an agent directly in order to get a quote.

Lincoln Financial was founded in 1905 and is one of the largest life insurance companies in the country. It has an A+ rating from AM Best, indicating superior financial strength.

AIG Direct is our top recommendation for small businesses that are in the market for key person insurance. The company offers low-cost term and permanent life insurance coverage, with flexible policies that make it easy to adjust your coverage as your business grows. 

AIG Direct’s term life insurance policies are available in term lengths up to 30 years, with five-year increments, with up to $2 million in coverage. If you are looking for long-term protection, AIG Direct also offers permanent life insurance, whole life insurance, and accidental death insurance, as well as riders for specialized protection.

If your business is purchasing life insurance for the first time, you can take advantage of AIG Direct’s online resources to learn what to expect when you apply for life insurance, how the medical exam works, how to calculate your coverage needs, and more.

Requesting a key person life insurance quote from AIG Direct is easy, but you won’t be able to get an instant rate estimate online. When you fill out the online form, your request gets sent to an agent who will reach out via phone or email. 

AIG Direct was founded in 1905. It’s a subsidiary of AIG and was created to help individuals and businesses purchase affordable life insurance on their own terms.

Self-employed business owners are often sole proprietors, which means finding an affordable policy is essential. Haven Life is the best key person life insurance company for self-employed individuals because the coverage is cheap, easy to get, and straightforward. 

Haven Life’s term life insurance policies offer enough protection to cover the unique business and familial risks that self-employed individuals face. Policies are available for individuals between 18 to 65, with 10-, 15-, 20-, and 30-year terms, and coverage from $100,000 to $3 million.

If you were to pass away unexpectedly, a term life policy from Haven Life would cover outstanding business expenses and loans, so your loved ones wouldn’t become responsible for paying back your company’s debts.

To get life insurance without a medical exam, you can apply for a Haven Simple policy, which is Haven Life’s take on simplified issue term life insurance. The company also offers a few unique policy options, like Haven Salary Protection.

Haven Life was started in 2014 and is owned by MassMutual, the company that underwrites its policies. The company has an A++ financial strength rating from AM Best.

Based on our research, Guardian Life Insurance is the best key person insurance company for disability insurance. The company offers short- and long-term business owners disability insurance policies that include personal income protection, coverage for routine business expenses, business loan protection, and consolidation. Guardian also offers a non-cancelable rider, guaranteed-renewable rider, residual benefits rider, and a future benefits increase rider.

Guardian sells individual disability insurance policies and supplemental insurance policies. If your company already provides disability coverage as an employee benefit, a supplemental policy can increase the coverage limits for a key executive and other high-earning individuals.

To get a key person disability insurance quote from Guardian, just use the free online form. You can also check out the coverage calculator to figure out how much disability insurance your key employees need, based on their age, profession, health history, and income. 

Guardian was founded in 1860. It was initially formed as a mutual company, and since 1868, it has paid annual dividends to its policyholders. As of 2021, Guardian had $776 billion in life insurance policies in force, and it has an A++ financial strength rating from AM Best.

Mutual of Omaha is the best key person insurance company if you’re looking for term life coverage for a business owner or executive. Not only are the policies affordable, but you can choose your coverage limits based on your company’s unique needs and risks. Mutual of Omaha’s term life insurance policies include a fixed premium and a guaranteed death benefit.

With a policy from Mutual of Omaha, you can choose a term limit of 10-, 15-, 20-, or 30-years, with $100,000 or more in coverage. Mutual of Omaha will issue policies to key executives who are between the ages of 18 to 80, which makes it a good option for companies with older employees.

To get a quote from Mutual of Omaha, you can use the online form or contact an agent directly. The company also has a free coverage calculator that can help you figure out how much coverage is right for your key employees. 

Mutual of Omaha was founded in 1909. The company began selling coverage in 48 states in 1939 and has been a leading life insurance provider ever since.Mutual of Omaha has an A+ financial strength rating from AM Best.

Prudential Financial’s key person insurance is highly customizable, which is why we recommend it for businesses that want to add riders or endorsements to their policy. There are riders for critical illness, disabilities, a waiver of monthly deductions, accidental death benefits, overloan protection, and more.

Prudential Financial offers a few different life insurance policies, including term life insurance, universal life insurance, indexed universal life insurance, and variable indexed universal life insurance. Riders can be added to any permanent policy for enhanced coverage. 

Getting a quote from Prudential Financial is quick and easy. You can fill out the online form, provide some basic information about yourself and your health history, and see how much you can expect to pay. Keep in mind that Prudential Financial’s policies tend to be more expensive than some of the other providers we reviewed.

Prudential Financial was founded in 1875. Today, Prudential Financial sells a number of different insurance, financial, and retirement products to individuals and businesses around the world. The company has an A+ rating from AM Best, indicating superior financial strength.