{"id":10564,"date":"2026-11-03T06:17:57","date_gmt":"2026-11-03T06:17:57","guid":{"rendered":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-timeline\/"},"modified":"2026-11-07T01:13:00","modified_gmt":"2026-11-07T01:13:00","slug":"key-person-insurance-timeline","status":"publish","type":"page","link":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-timeline\/","title":{"rendered":"Key Person Insurance Timeline in Florida | NR CPAs"},"content":{"rendered":"\n<div class=\"wp-block-cover alignfull is-dark chg-hero\" style=\"min-height:460px;aspect-ratio:unset;\"><span aria-hidden=\"true\" class=\"wp-block-cover__background has-background-dim-70 has-background-dim wp-block-cover__gradient-background has-background-gradient\" style=\"background:linear-gradient(90deg,rgba(32,36,46,1) 0%,rgba(32,36,46,1) 55%,rgba(32,36,46,0.7) 100%)\"><\/span><img class=\"wp-block-cover__image-background wp-image-10562\" alt=\"A senior operations manager reviews production schedules and equipment logs at a workstation in a busy manufacturing facility.\" src=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-and-photo-4.jpg\" width=\"1376\" height=\"768\" srcset=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-and-photo-4-150x150.jpg 150w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-and-photo-4-300x167.jpg 300w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-and-photo-4-768x429.jpg 768w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-and-photo-4-1024x572.jpg 1024w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-and-photo-4.jpg 1376w\" sizes=\"(max-width: 825px) 825px, 100vw\" fetchpriority=\"high\" decoding=\"async\"\/><div class=\"wp-block-cover__inner-container has-global-padding is-layout-constrained wp-block-cover-is-layout-constrained\">\n<p class=\"chg-eyebrow has-base-color has-text-color wp-block-paragraph\" style=\"text-shadow:0 1px 3px rgba(0,0,0,0.6),0 0 18px rgba(0,0,0,0.35)\">Key Person Insurance | Florida<\/p><h1 class=\"wp-block-heading has-base-color has-text-color\" style=\"text-shadow:0 1px 3px rgba(0,0,0,0.6),0 0 18px rgba(0,0,0,0.35)\">Key Person Insurance Timeline in Florida: What to Expect, Step by Step<\/h1><p class=\"has-base-color has-text-color wp-block-paragraph\" style=\"font-size:clamp(0.875rem, 0.875rem + ((1vw - 0.2rem) * 0.625), 1.25rem);text-shadow:0 1px 3px rgba(0,0,0,0.6),0 0 18px rgba(0,0,0,0.35)\">NR CPAs &amp; Business Advisors helps Florida business owners understand each stage of a key person insurance application, from the first coverage review to policy issue, with a CPA&#x27;s view of tax and cash flow.<\/p><div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\"><div class=\"wp-block-button chg-cta chg-cta-call\"><a class=\"wp-block-button__link wp-element-button\" href=\"tel:+13058723096\">Call us today<\/a><\/div><div class=\"wp-block-button chg-cta chg-cta-form\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/nrcpas.com\/contact\">Call us today<\/a><\/div><\/div>\n<\/div><\/div>\n\n\n<p class=\"wp-block-paragraph\" style=\"font-size:0.85rem;color:#6b7280;margin-bottom:1.5rem\">By Nischay Rawal \u00b7 Published November 3, 2026<\/p>\n\n<article lang=\"en\">\n\n\n<p>A key person insurance timeline can move in different orders, depending on the insurer and the facts of the case. It starts with a coverage review, then the application, underwriting, policy issue, premium payments, a review window after delivery, and yearly checks. Some steps follow Florida law. Others depend on the insurer and the facts of your case.<\/p>\n<p>This guide walks through each stage in plain words. It is written for business owners and partners who are working out coverage for a key person, often after a health event or a departure has already changed the picture.<\/p>\n<h2>Where the Key Person Insurance Timeline Begins<\/h2>\n<p>The timeline starts before any application, with a coverage review of your business. A coverage review is the first meeting with our team. It looks at the business, the key person, and the reason the business wants coverage.<\/p>\n<p>The <a href=\"https:\/\/www.iii.org\/publication\/insuring-your-business-small-business-owners-guide-to-insurance\/specific-coverages\/life-insurance-for-key-employees\">Insurance Information Institute<\/a> explains that key person life or disability insurance compensates a business for losses caused by that person&#8217;s death or disability.<\/p>\n<p>Contact our team to schedule a coverage review.<\/p>\n<p>At the review, we typically gather:<\/p>\n<ul>\n<li>the business&#8217;s legal form and who owns it<\/li>\n<li>the key person&#8217;s role and age<\/li>\n<li>the key person&#8217;s health history<\/li>\n<li>the amount the business would need, and why<\/li>\n<li>any buy-sell agreement or partner documents already in place<\/li>\n<\/ul>\n<p>These facts shape every later step. Missing details here can slow the application later.<\/p>\n\n<div class=\"cta-dose-mid wp-block-group has-base-color has-accent-background-color has-text-color has-background has-global-padding is-layout-constrained wp-container-core-group-is-layout-32197852 wp-block-group-is-layout-constrained\" style=\"background-color:var(--wp--preset--color--accent,#20242e);color:var(--wp--preset--color--base,#ffffff);border-radius:8px;padding-top:1.5rem;padding-bottom:1.5rem;padding-left:1.5rem;padding-right:1.5rem;border-left:6px solid var(--wp--preset--color--cta,currentColor);box-shadow:0 2px 10px rgba(0,0,0,0.18)\">\n<p class=\"wp-block-paragraph\">If a partner&#x27;s health or a key employee&#x27;s departure has just changed your plans, reach out through our contact page to set up a coverage review. Talk it through with our team &#8212; we can walk you through how a situation like yours is usually handled and what your options are.<\/p><div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\"><div class=\"wp-block-button chg-cta-call\"><a class=\"wp-block-button__link wp-element-button\" href=\"tel:+13058723096\">Schedule a coverage review<\/a><\/div><div class=\"wp-block-button chg-cta-form\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/nrcpas.com\/contact\">Schedule a coverage review<\/a><\/div><\/div>\n<\/div>\n\n<figure class=\"wp-block-image size-large has-custom-border\"><img decoding=\"async\" src=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/colleagues-gather-around-a-table-in-a-modern-office-focused-photo.jpg\" alt=\"Colleagues gather around a table in a modern office, focused on a project in front of a laptop.\" style=\"border-radius:8px;width:100%;aspect-ratio:16\/9;object-fit:cover\"\/><\/figure>\n<h2>Step 1: Application and Insurability Questions<\/h2>\n<p>The application opens the insurer&#8217;s review. It includes health questions that you must answer. Issue may depend on insurability, so the insurer can decline or offer different terms after it reads your answers.<\/p>\n<p>Florida law requires the proposed insured&#8217;s written consent, and under the statute the signature of the proposed insured, having capacity to contract, on the application for insurance constitutes that written consent. Under <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0627\/Sections\/0627.404.html\">Fla. Stat. 627.404<\/a>, a contract on a person&#8217;s life, other than a prepaid funeral contract, group life insurance, or group or blanket accident, health, or disability insurance, may not be carried out unless the insured, having legal capacity to contract, applies for or consents in writing on or before the time the contract is made. A policy on a minor younger than 15 may be obtained by a person with an insurable interest in that minor or by a person upon whom that minor is dependent for support and maintenance. A business buying key person coverage must also get written consent from the key person before buying the policy. The business may not retaliate against a key person who says no.<\/p>\n<p>The application names the owner, who controls the policy, and the beneficiary, who receives the death benefit. Many businesses are both owner and beneficiary. Write each name exactly as you want it to read on the policy.<\/p>\n<p>Some insurers set a waiting period before coverage takes full effect. Each insurer sets its own rules. Ask for the timing in writing.<\/p>\n<p><strong>When does coverage start?<\/strong> Check the issue and effective date shown in the policy. It does not follow the date you signed the application. Confirm the date on the delivered policy.<\/p>\n<h2>Step 2: Underwriting, Medical Requirements, and Policy Issue<\/h2>\n<p>Underwriting is the insurer&#8217;s review of your application, records, and any medical requirements. The length of this step varies by insurer and by the facts of the case.<\/p>\n<p>A medical exam or a records request can stretch the timeline. Delays can occur when medical records are still pending. Sending complete records with your first response helps.<\/p>\n<p>When the insurer accepts the application, it issues the policy. Check the delivered policy for:<\/p>\n<ul>\n<li>the insurer&#8217;s name and the policy form number<\/li>\n<li>the face amount, which is the death benefit<\/li>\n<li>the owner and the beneficiary<\/li>\n<li>the issue and effective dates<\/li>\n<\/ul>\n<p>Wrong details can change the outcome. Florida law requires every insurance contract to provide that if the age or sex of the insured, or of any other individual considered in determining the premium or benefit, was misstated, the benefit is adjusted to what the premium would have purchased at the correct age or sex, under <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0627\/Sections\/0627.456.html\">Fla. Stat. 627.456<\/a>. Ask for corrections in writing right away.<\/p>\n<h2>Premium Payments: First Premium, Payment Frequency, and Grace Periods<\/h2>\n<p>The first premium pays for the first period of coverage. Later premiums follow the schedule in the policy. A premium is a payment for coverage.<\/p>\n<p>The policy sets the payment frequency. Options may include annual, semiannual, quarterly, or monthly payments. The frequency shown in the policy controls, so check it before you set up automatic payments.<\/p>\n<p>Florida law sets a minimum grace period. Under <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0627\/Sections\/0627.453.html\">Fla. Stat. 627.453<\/a>, every insurance contract must give at least 30 days to pay a premium after the first. The insurer may charge interest on the late premium, not more than 8 percent per year. The policy stays in force during the grace period.<\/p>\n<p>Confirm any future premium change with the insurer before you rely on a figure.<\/p>\n<h2>The Policy Review Window After Delivery<\/h2>\n<p><a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0626\/Sections\/0626.99.html\">Fla. Stat. \u00a7 626.99(4)(a) requires the insurer<\/a> to provide each prospective purchaser a buyer&#8217;s guide and a policy summary prior to accepting the applicant&#8217;s initial premium or deposit, unless the policy provides an unconditional refund for at least 14 days, or unless the policy summary contains an offer of such an unconditional refund. If the policy provides an unconditional refund for at least 14 days, or the policy summary offers one, those documents may instead be delivered with the policy or before it is delivered, so the buyer can review them and decide whether to keep the coverage. When a review period begins can depend on the terms of each policy, so check the policy contract for the exact wording. Keep proof of that date.<\/p>\n<p>Florida&#8217;s <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0626\/Sections\/0626.99.html\">life insurance solicitation law<\/a> exists to help buyers understand a policy&#8217;s basic features and compare costs. Use the window for that purpose.<\/p>\n<p>During the window:<\/p>\n<ul>\n<li>read the delivered policy line by line<\/li>\n<li>compare it to the application you signed<\/li>\n<li>ask for corrections in writing<\/li>\n<li>confirm the owner, beneficiary, and face amount<\/li>\n<\/ul>\n<p>Review the policy&#8217;s own terms for returning it and any refund. Keep copies of everything you send and receive.<\/p>\n<h2>Annual Checks After Policy Issue<\/h2>\n<p>Once the policy is in force, a yearly check keeps the coverage matched to the business. Pick a set date each year for the review.<\/p>\n<p>A yearly checklist covers five points:<\/p>\n<ul>\n<li>Confirm the policy is in force and the premium notices match your payment history.<\/li>\n<li>Confirm the owner and beneficiary are still correct.<\/li>\n<li>Review the key person&#8217;s role, health, and employment changes.<\/li>\n<li>Compare the face amount to what the business needs today.<\/li>\n<li>Check any buy-sell agreement or shareholder documents against the policy.<\/li>\n<\/ul>\n<p>If the policy has cash value, treat that figure as not guaranteed. The insurer&#8217;s annual statement shows the amount.<\/p>\n<p>Some employer-owned policies carry a federal reporting duty. <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/6039I\">IRC 6039I<\/a> requires an annual return for certain employer-owned life insurance contracts and records to show compliance. Contact our team to confirm whether this rule applies to your business.<\/p>\n\n<div class=\"cta-dose-mid wp-block-group has-base-color has-accent-background-color has-text-color has-background has-global-padding is-layout-constrained wp-container-core-group-is-layout-32197852 wp-block-group-is-layout-constrained\" style=\"background-color:var(--wp--preset--color--accent,#20242e);color:var(--wp--preset--color--base,#ffffff);border-radius:8px;padding-top:1.5rem;padding-bottom:1.5rem;padding-left:1.5rem;padding-right:1.5rem;border-left:6px solid var(--wp--preset--color--cta,currentColor);box-shadow:0 2px 10px rgba(0,0,0,0.18)\">\n<h3 class=\"wp-block-heading has-base-color has-text-color\">Not sure what your next step is?<\/h3><p class=\"wp-block-paragraph\">Talk it through with our team &#8212; we can walk you through how a situation like yours is usually handled and what your options are.<\/p><div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\"><div class=\"wp-block-button chg-cta-call\"><a class=\"wp-block-button__link wp-element-button\" href=\"tel:+13058723096\">Schedule a coverage review<\/a><\/div><div class=\"wp-block-button chg-cta-form\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/nrcpas.com\/contact\">Schedule a coverage review<\/a><\/div><\/div>\n<\/div>\n<h2>Events That Restart Part of the Timeline<\/h2>\n<p>A change to the insured, the face amount, the owner, or the policy itself starts a new step. Each change can trigger new underwriting, new paperwork, or a new issue date.<\/p>\n<p>Replacing an existing policy is a separate decision with its own rules. Any comparison between policies must be fair and complete. Under <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0627\/Sections\/0627.4553.html\">Fla. Stat. 627.4553<\/a>, an agent who recommends surrendering a policy with cash value, without recommending that the proceeds fund or purchase another annuity or life insurance policy, must first give written information. That information includes surrender charges and possible tax consequences.<\/p>\n<p>Borrowing takes time. Under <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0627\/Sections\/0627.458.html\">Fla. Stat. 627.458<\/a>, a policy other than a term policy must reserve to the insurer the right to defer granting a loan, except a loan for paying a premium to the insurer, for six months after the application. Review any loan or premium change before you act.<\/p>\n<h2>Tax and Bookkeeping Checkpoints With a CPA View<\/h2>\n<p>Federal tax treatment depends on who owns the policy, who pays the premium, and who is the beneficiary.<\/p>\n<p>Whether premiums are deductible depends on who owns the policy and who is the beneficiary, so contact our team to review your facts. Internal Revenue Code section 264 disallows deductions for certain life insurance costs, including premiums on a policy under which the taxpayer is a beneficiary and interest on indebtedness tied to certain life insurance policies.<\/p>\n<p>The <a href=\"https:\/\/www.irs.gov\/faqs\/interest-dividends-other-types-of-income\/life-insurance-disability-insurance-proceeds\">IRS life insurance proceeds FAQ<\/a> explains that life insurance proceeds paid because of the insured person&#8217;s death are usually not taxable income. For an employer-owned life insurance contract, however, Internal Revenue Code section 101(j) can make the proceeds above the premiums and other amounts paid by the policyholder taxable unless the employee receives written notice and gives written consent before the policy is issued and one of the statutory exceptions applies. The section 6039I reporting requirement is part of these same employer-owned life insurance rules. Interest paid on proceeds held by the insurer can be taxable.<\/p>\n<p>How the policy and its premiums are recorded in your books depends on the policy type, such as term or cash value, and on who owns the policy and who is the beneficiary. Contact our team to confirm the treatment, because the facts decide the result.<\/p>\n<p>NR CPAs &amp; Business Advisors is our accounting practice. Insurance is offered by Nischay Rawal, a licensed insurance agent in Florida, separately from the accounting services. Agent licensing is governed by <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0626\/Sections\/0626.112.html\">Fla. Stat. 626.112<\/a>.<\/p>\n\n<figure class=\"wp-block-image size-large has-custom-border\"><img decoding=\"async\" src=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-whiteboard-covered-in-a-project-timeline-with-design-and-d-photo.jpg\" alt=\"A whiteboard covered in a project timeline with design and development phases marked by colored sticky notes.\" style=\"border-radius:8px;width:100%;aspect-ratio:16\/9;object-fit:cover\"\/><\/figure>\n<h2>Next Step: Start With a Coverage Review<\/h2>\n<p>A <a href=\"\/life-insurance-guides\/key-person-insurance\/\">key person insurance<\/a> timeline is easier to follow when the first step is clear. If a partner or key employee leaves the business, our team can review the relevant dates with you. A coverage review helps you sort out where your business stands.<\/p>\n<details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>When does key person insurance coverage start?<\/summary><p>Coverage generally follows the issue and effective date in the policy. It does not follow the date you signed the application.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>How long does underwriting take?<\/summary><p>Timing depends on the insurer and the facts of your case. Ask the insurer for its timing in writing.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>What is the grace period for a premium in Florida?<\/summary><p>Florida law requires at least 30 days to pay a premium after the first. The policy stays in force during that period.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Are key person premiums deductible?<\/summary><p>Federal law generally bars a deduction for premiums on a life insurance policy, endowment, or annuity contract when the taxpayer is directly or indirectly a beneficiary under the policy or contract.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Is the death benefit taxable?<\/summary><p>Death benefits are generally excluded from gross income, but employer-owned contracts that do not meet the <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">IRC 101(j)<\/a> requirements can produce taxable proceeds, and interest on proceeds left with the insurer can be taxable.<\/p><\/details>\n<p>If a partner&#8217;s health or a key employee&#8217;s departure has just changed your plans, reach out through our <a href=\"https:\/\/nrcpas.com\/contact\">contact page<\/a> to set up a coverage review.<\/p>\n\n<\/article>\n<footer class=\"disclaimer\"><em>NR CPAs &amp; Business Advisors, LLC, 782 NW 42nd Avenue, Suite 534, Miami, FL 33126. Life insurance is offered by Nischay Rawal, a Florida-licensed life and health insurance agent (license G066337). This page is general information about life insurance, not tax, legal or investment advice, and not an offer of any specific policy. Coverage, premiums and benefits depend on the issuing insurer&#x27;s underwriting and the policy&#x27;s terms. Policy loans and withdrawals reduce cash value and the death benefit and may have tax consequences.<\/em><\/footer>\n\n\n<div class=\"wp-block-group alignwide has-global-padding is-layout-constrained wp-container-core-group-is-layout-583d630a wp-block-group-is-layout-constrained\" style=\"padding-top:3rem;padding-bottom:3rem;padding-left:1.5rem;padding-right:1.5rem\">\n<h2 class=\"wp-block-heading has-text-align-center\">Why the Timeline Matters to Your Business<\/h2>\n<div class=\"wp-block-columns alignwide is-layout-flex wp-container-core-columns-is-layout-f56f613f wp-block-columns-is-layout-flex\"><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><p class=\"wp-block-paragraph\"><span class=\"chg-icon chg-icon--clock\"><\/span><\/p><h3 class=\"wp-block-heading\">Plan ahead<\/h3><p class=\"wp-block-paragraph\">Knowing the typical stages helps you line up the application with your business calendar, financing plans and ownership changes.<\/p><\/div><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><p class=\"wp-block-paragraph\"><span class=\"chg-icon chg-icon--document\"><\/span><\/p><h3 class=\"wp-block-heading\">Clear paperwork<\/h3><p class=\"wp-block-paragraph\">A complete application, with accurate health and financial information, is the starting point for the insurer&#x27;s review.<\/p><\/div><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><p class=\"wp-block-paragraph\"><span class=\"chg-icon chg-icon--shield\"><\/span><\/p><h3 class=\"wp-block-heading\">Ask for timing in writing<\/h3><p class=\"wp-block-paragraph\">Underwriting time depends on the insurer and the facts of each case. We help you request the insurer&#x27;s timing in writing.<\/p><\/div><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><p class=\"wp-block-paragraph\"><span class=\"chg-icon chg-icon--lightbulb\"><\/span><\/p><h3 class=\"wp-block-heading\">A CPA&#x27;s view<\/h3><p class=\"wp-block-paragraph\">We look at how premiums, the business&#x27;s cash flow and the tax treatment of the policy fit together before you decide.<\/p><\/div><\/div>\n\n<\/div>\n\n\n\n<div class=\"wp-block-group has-base-color has-accent-background-color has-text-color has-background has-global-padding is-layout-constrained wp-container-core-group-is-layout-32197852 wp-block-group-is-layout-constrained\" style=\"background-color:var(--wp--preset--color--accent,#20242e);color:var(--wp--preset--color--base,#ffffff);border-radius:8px;padding-top:1.5rem;padding-bottom:1.5rem;padding-left:1.5rem;padding-right:1.5rem;border-left:6px solid var(--wp--preset--color--cta,currentColor);box-shadow:0 2px 10px rgba(0,0,0,0.18)\">\n<h3 class=\"wp-block-heading has-base-color has-text-color\">Important: Coverage Depends on Underwriting<\/h3><p class=\"wp-block-paragraph\">Key person insurance is fully underwritten. Health questions are required, and whether a policy is issued depends on the insurer&#x27;s underwriting. Insurance is offered by our licensed insurance agent, separately from the accounting practice.<\/p><div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\"><div class=\"wp-block-button chg-cta-call\"><a class=\"wp-block-button__link wp-element-button\" href=\"tel:+13058723096\">Call us today to schedule a coverage review<\/a><\/div><div class=\"wp-block-button chg-cta-form\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/nrcpas.com\/contact\">Call us today to schedule a coverage review<\/a><\/div><\/div>\n<\/div>\n\n\n\n<div class=\"wp-block-group alignfull has-surface-background-color has-background has-global-padding is-layout-constrained wp-container-core-group-is-layout-583d630a wp-block-group-is-layout-constrained\" style=\"padding-top:3rem;padding-bottom:3rem;padding-left:1.5rem;padding-right:1.5rem\">\n<h2 class=\"wp-block-heading has-text-align-center\">The Key Person Insurance Process at a Glance<\/h2>\n<div class=\"wp-block-columns alignwide is-layout-flex wp-container-core-columns-is-layout-f56f613f wp-block-columns-is-layout-flex\"><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><div class=\"wp-block-group has-base-background-color has-background is-layout-flow wp-block-group-is-layout-flow\" style=\"border-radius:8px;box-shadow:0 4px 14px rgba(0,0,0,0.08);padding-top:1.5rem;padding-bottom:1.5rem;padding-left:1.5rem;padding-right:1.5rem\"><h3 class=\"wp-block-heading\">1. Coverage review<\/h3><p class=\"wp-block-paragraph\">We meet to discuss the business, the key person&#x27;s role and the goals for the policy. This first meeting is a coverage review.<\/p><\/div><\/div><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><div class=\"wp-block-group has-base-background-color has-background is-layout-flow wp-block-group-is-layout-flow\" style=\"border-radius:8px;box-shadow:0 4px 14px rgba(0,0,0,0.08);padding-top:1.5rem;padding-bottom:1.5rem;padding-left:1.5rem;padding-right:1.5rem\"><h3 class=\"wp-block-heading\">2. Application<\/h3><p class=\"wp-block-paragraph\">The application and required health questions are completed. Accurate answers help avoid delays later in the process.<\/p><\/div><\/div><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><div class=\"wp-block-group has-base-background-color has-background is-layout-flow wp-block-group-is-layout-flow\" style=\"border-radius:8px;box-shadow:0 4px 14px rgba(0,0,0,0.08);padding-top:1.5rem;padding-bottom:1.5rem;padding-left:1.5rem;padding-right:1.5rem\"><h3 class=\"wp-block-heading\">3. Underwriting<\/h3><p class=\"wp-block-paragraph\">The insurer reviews the application and may request additional information. Timing is set by the insurer, so ask for it in writing.<\/p><\/div><\/div><div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><div class=\"wp-block-group has-base-background-color has-background is-layout-flow wp-block-group-is-layout-flow\" style=\"border-radius:8px;box-shadow:0 4px 14px rgba(0,0,0,0.08);padding-top:1.5rem;padding-bottom:1.5rem;padding-left:1.5rem;padding-right:1.5rem\"><h3 class=\"wp-block-heading\">4. Policy issue and ongoing review<\/h3><p class=\"wp-block-paragraph\">Once the insurer issues the policy, we review premiums, ownership and beneficiary details with you so the policy stays aligned with the business.<\/p><\/div><\/div><\/div>\n\n<\/div>\n\n\n\n<div class=\"wp-block-group alignfull has-base-color has-primary-background-color has-text-color has-background has-global-padding is-layout-constrained wp-container-core-group-is-layout-4d466591 wp-block-group-is-layout-constrained\" style=\"background-color:var(--wp--preset--color--primary,#20242e);color:var(--wp--preset--color--base,#ffffff);padding-top:3rem;padding-bottom:3rem;padding-left:1.5rem;padding-right:1.5rem\">\n<h2 class=\"wp-block-heading has-text-align-center has-base-color has-text-color\">Have Questions About Key Person Coverage for Your Florida Business?<\/h2>\n<div class=\"wp-block-buttons is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-0aa01211 wp-block-buttons-is-layout-flex\"><div class=\"wp-block-button chg-cta chg-cta-call\"><a class=\"wp-block-button__link wp-element-button\" href=\"tel:+13058723096\">Call NR CPAs &amp; Business Advisors today<\/a><\/div><div class=\"wp-block-button chg-cta chg-cta-form\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/nrcpas.com\/contact\">Call NR CPAs &amp; Business Advisors today<\/a><\/div><\/div>\n<\/div>\n\n<!-- chg:section-siblings -->\n<nav aria-label=\"More in this section\">\n<h2>More in this section<\/h2>\n<ul><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-timing\/\">When Should a Business Owner Buy Key Person Insurance?<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-transfer-for-value-rule\/\">Can I Buy My Key Person&#x27;s Life Insurance Policy From My Business? The Transfer-for-Value Rule<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-transfer-policy-to-employee\/\">Can You Transfer Key Person Insurance to the Employee It Covers?<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-transfer-to-insured\/\">Can a Key Person Policy Be Transferred to the Insured Employee?<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-transfer-to-new-owner\/\">Can a Key Person Policy Be Transferred to a New Owner?<\/a><\/li><\/ul>\n<\/nav>\n<!-- \/chg:section-siblings -->","protected":false},"excerpt":{"rendered":"<p>Follow the key person insurance timeline step by step: coverage review, application, policy issue, premium grace periods and yearly checks in Florida.<\/p>\n","protected":false},"author":2,"featured_media":0,"parent":16,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"chg_review":"","chg_sendback":"","chg_canonical":"","chg_lang":"","chg_hreflang":"[{\"hreflang\": \"en\", \"href\": \"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-timeline\/\"}, {\"hreflang\": \"es\", \"href\": \"https:\/\/nrcpas.com\/life-insurance-guides\/es\/seguro-persona-clave\/seguro-persona-clave-cronograma\/\"}, {\"hreflang\": \"x-default\", \"href\": \"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-timeline\/\"}]","chg_jsonld":"[{\"about\": [{\"@type\": \"Thing\", \"name\": \"Life insurance\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Life_insurance\"}, {\"@type\": \"Thing\", \"name\": \"Key person insurance\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Key_person_insurance\"}], \"author\": {\"@type\": \"Person\", \"name\": \"Nischay Rawal\", \"url\": \"https:\/\/nrcpas.com\/author\", \"jobTitle\": \"Managing Partner, CPA, EA and Licensed Life Insurance Agent\", \"sameAs\": [\"https:\/\/licenseesearch.fldfs.com\/Licensee\/2306161\", \"https:\/\/www.myfloridalicense.com\/portalsearches\/VerifyLicensee\/LicenseDetail?ID=D6E76E58125054CFA98C8D92AF9DBC44\", \"https:\/\/www.taxbuzz.com\/florida\/miami\/nr-cpas-and-business-advisors-llc\", \"https:\/\/x.com\/nrawal786\", \"https:\/\/www.linkedin.com\/in\/nischay-rawal-cpa-ea-22741924a\/?isSelfProfile=false\"], \"worksFor\": {\"@type\": \"Organization\", \"@id\": \"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-timeline\/#organization\", \"name\": \"NR CPAs & Business Advisors\", \"url\": \"https:\/\/nrcpas.com\/\"}}, \"@context\": \"https:\/\/schema.org\", \"audience\": {\"@type\": \"BusinessAudience\", \"audienceType\": \"Business owners, partners, and finance or HR decision-makers researching key person coverage\"}, \"headline\": \"Key Person Insurance Timeline in Florida: What to Expect, Step by Step\", \"keywords\": [\"key person insurance timeline\", \"key man insurance timeline\", \"key person insurance application process\", \"key person policy issue date\", \"key person insurance premium payments\", \"when does key person insurance coverage start\", \"key person insurance annual review\", \"key person insurance underwriting time\", \"key person insurance beneficiary and ownership\"], \"publisher\": {\"@type\": \"Organization\", \"@id\": \"https:\/\/nrcpas.com\/life-insurance-guides\/#organization\", \"name\": \"NR CPAs & Business Advisors\", \"url\": \"https:\/\/nrcpas.com\/\"}, \"speakable\": {\"@type\": \"SpeakableSpecification\", \"cssSelector\": [\"article > p:first-of-type\", \".wp-block-details p\", \"article > h1\"]}, \"areaServed\": {\"name\": \"Florida\", \"@type\": \"State\"}, \"inLanguage\": \"en-US\", \"mainEntity\": [{\"@type\": \"Question\", \"name\": \"When does key person insurance coverage start?\", \"acceptedAnswer\": {\"@type\": \"Answer\", \"text\": \"Coverage generally follows the issue and effective date in the policy. 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