Buy/Sell Agreement Life Insurance

Buy/sell life insurance is a policy designed to facilitate the smooth transition of ownership in a business if an owner dies or becomes disabled. It involves purchasing life insurance on the lives of business owners, with the policy proceeds used to buy out the deceased or disabled owner’s share of the business. This arrangement ensures that the remaining owners have the necessary funds to buy out the departing owner's interest, thereby maintaining business continuity and preventing potential disputes among heirs or surviving partners.