{"id":10914,"date":"2026-11-05T02:22:31","date_gmt":"2026-11-05T02:22:31","guid":{"rendered":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-medical-dental-practice\/"},"modified":"2026-11-05T02:22:38","modified_gmt":"2026-11-05T02:22:38","slug":"key-person-insurance-medical-dental-practice","status":"publish","type":"page","link":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-medical-dental-practice\/","title":{"rendered":"Key Person Insurance Calculator: How to Estimate Coverage"},"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-60 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-10912\" alt=\"A senior operations manager reviews production schedules at a workstation in a busy manufacturing facility, with colleagues working in the background.\" src=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-at-photo-20.jpg\" width=\"1376\" height=\"768\" srcset=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-at-photo-20-150x150.jpg 150w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-at-photo-20-300x167.jpg 300w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-at-photo-20-768x429.jpg 768w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-at-photo-20-1024x572.jpg 1024w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/11\/a-senior-operations-manager-reviews-production-schedules-at-photo-20.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 | Miami and 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)\">Estimate the Coverage Your Business Needs Before You Decide<\/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)\">A practical guide to three ways to estimate key person insurance, from NR CPAs &amp; Business Advisors in Miami. Use the ranges to plan a coverage review with our team.<\/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 4, 2026<\/p>\n\n<article lang=\"en\">\n\n\n<p>A key person insurance calculator really asks three questions. What would the practice lose? What would replacing the clinician cost? How much does the practice need to keep running? Three common methods answer those questions with dollar figures you can compare.<\/p>\n<p>This page walks through those methods for a medical or dental practice in Florida. NR CPAs &amp; Business Advisors is a Miami CPA firm that helps families, professionals and business owners choose and buy life insurance.<\/p>\n<h2>What Key Person Insurance Is for a Medical or Dental Practice<\/h2>\n<p><a href=\"\/life-insurance-guides\/key-person-insurance\/\">Key person insurance<\/a> is a life insurance policy the practice owns and pays for. The practice receives the death benefit. The insured is a clinician whose loss would hurt the business. 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> describes this coverage as compensation to a business for financial losses caused by a key employee&#8217;s death or disability.<\/p>\n<p>It often fits these practices:<\/p>\n<ul>\n<li>Solo owner-dentists whose patient base depends on them.<\/li>\n<li>Dental groups with several partners.<\/li>\n<li>Physician practices with associates or senior clinicians.<\/li>\n<li>Practices with a bank loan or a buy-in obligation.<\/li>\n<\/ul>\n<p>A personal policy protects your family. Key person coverage protects the practice. Term life covers for a set period. Whole life covers for life and includes a cash-value feature, according to <a href=\"https:\/\/www.finra.org\/investors\/investing\/investment-products\/insurance\">FINRA&#8217;s insurance overview<\/a>.<\/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 clinician&#x27;s illness, a partner&#x27;s exit or a lender&#x27;s request has your practice asking how much coverage it needs, we can work through the numbers with you in 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\/11\/a-black-woman-uses-a-calculator-and-notepad-to-work-through-photo.jpg\" alt=\"A Black woman uses a calculator and notepad to work through budget figures at a desk.\" style=\"border-radius:8px;width:100%;aspect-ratio:16\/9;object-fit:cover\"\/><\/figure>\n<h2>Three Methods to Estimate How Much Coverage the Practice Needs<\/h2>\n<p>The three common methods are the salary multiplier, the replacement cost method and the revenue contribution method. Each gives a starting figure. None gives a fixed answer.<\/p>\n<ul>\n<li><strong>Salary multiplier.<\/strong> Take the clinician&#8217;s annual pay and multiply it by a number of years. The multiplier reflects how long recruiting and building a replacement could take. The number of years is a judgment call, not a rule.<\/li>\n<li><strong>Replacement cost.<\/strong> Add the one-time costs of filling the role. These include recruiting fees, sign-on pay, training and temporary coverage while a hire is made.<\/li>\n<li><strong>Revenue contribution.<\/strong> Find the collections the clinician personally generates each year. Then estimate how much of that revenue the practice would lose during the transition.<\/li>\n<\/ul>\n<p>Build each method from the practice&#8217;s own payroll and collection records. Rough guesses lead to rough answers.<\/p>\n<h2>Worked Example: Comparing the Three Methods<\/h2>\n<p>The three methods can produce very different totals for the same clinician. The example below is hypothetical. It uses invented round numbers for a two-dentist general practice. It is not a benchmark or a prediction.<\/p>\n\n<figure class=\"wp-block-table is-style-stripes\"><table>\n<thead>\n<tr>\n<th>Method<\/th>\n<th>Hypothetical inputs<\/th>\n<th>Result<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Salary multiplier<\/td>\n<td>Clinician pay of $200,000 \u00d7 5 years<\/td>\n<td>$1,000,000<\/td>\n<\/tr>\n<tr>\n<td>Replacement cost<\/td>\n<td>Recruiting $40,000 + training and sign-on $60,000 + temporary coverage $80,000<\/td>\n<td>$180,000<\/td>\n<\/tr>\n<tr>\n<td>Revenue contribution<\/td>\n<td>Clinician collections of $600,000 a year \u00d7 50% lost over 12 months<\/td>\n<td>$300,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/figure>\n\n<p>The salary method gives the largest figure because it counts years of income. The replacement method counts one-time costs only. The revenue method counts lost collections during the transition. A practice might set its target near one method. It might also weigh all three against its loan terms and buy-sell agreement.<\/p>\n<p>Your practice&#8217;s figures will differ. A coverage review is where those numbers get worked through with the responsible agent.<\/p>\n<h2>What the Coverage Is Meant to Pay For, and What It Does Not Cover<\/h2>\n<p>Key person coverage pays the practice a death benefit. The practice decides how to use that money, within its own obligations. Common uses include:<\/p>\n<ul>\n<li>Lost revenue while a replacement is recruited and patient flow settles.<\/li>\n<li>Recruiting, onboarding and training a replacement clinician.<\/li>\n<li>Loan payments, since some lenders ask for key person coverage as a condition of credit.<\/li>\n<li>Buy-sell funding. Coverage tied to a buy-sell agreement can help fund a buyout if an owner dies, depending on how the agreement is written.<\/li>\n<\/ul>\n<p>The limits matter. The policy pays a death benefit under its terms. It does not guarantee patient retention or the value of the practice. A fully underwritten policy asks health questions, and issue may depend on insurability.<\/p>\n<p>Florida law requires life policies to include an incontestability provision. After the policy has been in force during the insured&#8217;s lifetime for two years from issue, it becomes incontestable, except for nonpayment of premiums and, at the insurer&#8217;s option, certain provisions on disability benefits and additional insurance against accidental death, under <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0627\/Sections\/0627.455.html\">Fla. Stat. \u00a7 627.455<\/a>.<\/p>\n<h2>Cost Factors and Tax Treatment, Viewed by a CPA<\/h2>\n<p>Premiums depend on the insured&#8217;s age, health history, tobacco use, the coverage amount, the policy design and the insurer&#8217;s rates. The policy sets out its renewal terms and any age-based change.<\/p>\n<p>Tax treatment starts with who owns, pays for and receives the policy. Three points to know:<\/p>\n<ul>\n<li>Death benefits are generally not taxable as income. Interest paid on death proceeds that the insurer holds under an agreement to pay interest is taxable, per the <a href=\"https:\/\/www.irs.gov\/faqs\/interest-dividends-other-types-of-income\/life-insurance-disability-insurance-proceeds\">IRS guidance on life insurance proceeds<\/a>.<\/li>\n<li>For employer-owned contracts, the general rule under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">IRC \u00a7 101<\/a>, subsection (j)(1), caps the amount excluded from income at the premiums and other amounts the policyholder paid; subsection (j)(2) sets exceptions to that cap.<\/li>\n<li>Section 264 lists amounts that cannot be deducted in connection with life insurance contracts, under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/264\">IRC \u00a7 264<\/a>.<\/li>\n<\/ul>\n<p>The firm&#8217;s tax and cash flow view sits beside the coverage. Insurance is offered by the licensed agent, separately from the accounting practice. Under <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0400-0499\/0473\/Sections\/0473.3205.html\">Fla. Stat. \u00a7 473.3205<\/a>, a CPA firm may not accept or pay a commission or referral fee in connection with the sale or referral of public accounting services. A CPA firm engaged in the practice of public accounting that accepts a commission for the sale of a product or service to a client must disclose that fact to the client in writing, following the rules the Florida Board of Accountancy has adopted.<\/p>\n<h2>How the Process Works, Step by Step<\/h2>\n<p>The process runs from a coverage review, to an application, to periodic review.<\/p>\n<ol>\n<li><strong>Coverage review.<\/strong> Gather payroll, collection reports, loan balances, buy-sell terms and a description of the clinician&#8217;s role.<\/li>\n<li><strong>Run the three methods.<\/strong> Agree on a target amount and a policy design that fits the practice&#8217;s cash flow.<\/li>\n<li><strong>Written consent.<\/strong> Florida law allows a business to insure an owner, partner or key person only if that person consents in writing before the policy is bought. The business may not retaliate against someone who declines, 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. \u00a7 627.404<\/a>. For employer-owned life insurance contracts issued after the 2006 enactment of <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/6039I\">IRC \u00a7 6039I<\/a>, the applicable policyholder must file a yearly return, in the form the Treasury Secretary prescribes, showing whether it has valid consent for each insured employee, and must keep records needed to show compliance, under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/6039I\">IRC \u00a7 6039I<\/a>.<\/li>\n<li><strong>Application and underwriting.<\/strong> Health questions are asked. The insurer decides issue based on insurability.<\/li>\n<li><strong>Periodic review.<\/strong> Revisit the amount when revenue, staffing or debt changes. Timelines vary by insurer and are not promised.<\/li>\n<\/ol>\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\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\/a-woman-accountant-seen-from-above-uses-a-calculator-at-a-de-photo.jpg\" alt=\"A woman accountant uses a calculator at a desk covered with documents, a laptop, and other office gadgets.\" style=\"border-radius:8px;width:100%;aspect-ratio:16\/9;object-fit:cover\"\/><\/figure>\n<h2>Why NR CPAs, and Common Questions<\/h2>\n<p>NR CPAs &amp; Business Advisors pairs a CPA&#8217;s view of tax and cash flow with a licensed insurance agent&#8217;s coverage review. The firm is a Miami CPA firm. It helps families, professionals and business owners across the United States, including Indian-American households and business owners, choose and buy life insurance.<\/p>\n<p>Nischay Rawal is the responsible licensed insurance agent on this page. Under Florida law, agents must say they are acting as insurance agents and identify the insurers, per <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0626\/Sections\/0626.9531.html\">Fla. Stat. \u00a7 626.9531<\/a>.<\/p>\n<details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Is there one key person insurance calculator answer?<\/summary><p>No single formula fits every practice. The three methods give a range to compare.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>How often should the coverage amount be reviewed?<\/summary><p>Review it when revenue, staffing or debt changes. The right amount moves as the practice does.<\/p><\/details><h3>Can a dental group insure every partner?<\/h3><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Can key person coverage fund a buy-sell agreement?<\/summary><p>It can, when the coverage is tied to the buy-sell terms. The result depends on how the agreement is written.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>What health questions are asked?<\/summary><p>A fully underwritten policy asks health questions. Issue may depend on insurability.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Is the premium deductible?<\/summary><p>That depends on the facts of the policy and its owner. Section 264 sets out the amounts that cannot be deducted.<\/p><\/details>\n<p>To talk through your practice&#8217;s numbers, reach out through the <a href=\"https:\/\/nrcpas.com\/contact\">contact page<\/a> and ask for 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\">What a Coverage Review With Our Team Covers<\/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--document\"><\/span><\/p><h3 class=\"wp-block-heading\">Your Figures<\/h3><p class=\"wp-block-paragraph\">We start with the revenue, payroll, debt and ownership details that shape the estimate for your business.<\/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\">Plain-Language Ranges<\/h3><p class=\"wp-block-paragraph\">We explain each estimating method and what its results do and do not show, so you can compare them side by side.<\/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\">Policy Type Options<\/h3><p class=\"wp-block-paragraph\">We discuss how term life insurance and whole life insurance may fit different business goals, including buy-sell funding.<\/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--users\"><\/span><\/p><h3 class=\"wp-block-heading\">Owners and Families<\/h3><p class=\"wp-block-paragraph\">We look at how key person coverage relates to your personal estate plan and to the people who depend on your business.<\/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\">Estimates Are Not a Quote<\/h3><p class=\"wp-block-paragraph\">A calculator result is a planning range, not a price or an offer. Any policy premium depends on health questions and underwriting, and issue may depend on insurability. Insurance is offered by Nischay Rawal, a 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<\/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<\/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\">Three Ways to Estimate Key Person Coverage<\/h2>\n<div class=\"wp-block-columns 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\">Income Replacement<\/h3><p class=\"wp-block-paragraph\">Estimates the earnings your business would lose while it recruits and trains a replacement for a key person.<\/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\">Revenue Share<\/h3><p class=\"wp-block-paragraph\">Measures the share of revenue tied to the key person&#x27;s role, then compares that figure with your business&#x27;s obligations.<\/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\">Debt and Buy-Sell Funding<\/h3><p class=\"wp-block-paragraph\">Totals business loans and buy-sell obligations that may need funding if a co-owner or key person dies.<\/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\">Protect your loved ones and the business they depend on. Call NR CPAs &amp; Business Advisors to schedule a coverage review.<\/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 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>\n\n<h2 class=\"wp-block-heading\">Related practice areas<\/h2><ul class=\"wp-block-list\"><li><a href=\"\/life-insurance-guides\/key-person-insurance\/florida\/\">Key Person Insurance in Florida<\/a><\/li><\/ul>\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-medical-underwriting\/\">Key Person Insurance Medical Underwriting: Health Questions, Exams, and Why Issue Depends on Insurability<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-move-to-india-business-owner\/\">Does Key Person Insurance Still Pay If I Move to India? Business Coverage for Owners Who Relocate<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-multi-owner-llc\/\">Key Person Insurance for a Multi-Owner LLC: How Membership Changes Affect Coverage<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-multiple-key-employees\/\">Can Key Person Insurance Cover More Than One Key Employee?<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-non-citizen-key-employee\/\">Can a Business Buy Key Person Insurance on a Key Employee Who Is Not a US Citizen?<\/a><\/li><\/ul>\n<\/nav>\n<!-- \/chg:section-siblings -->","protected":false},"excerpt":{"rendered":"<p>Learn three ways to estimate key person insurance for a Florida medical or dental practice, with a worked example and a coverage review.<\/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-medical-dental-practice\/\"}, {\"hreflang\": \"es\", \"href\": \"https:\/\/nrcpas.com\/life-insurance-guides\/es\/seguro-persona-clave\/seguro-persona-clave-consultorio-dental\/\"}, {\"hreflang\": \"x-default\", \"href\": \"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-medical-dental-practice\/\"}]","chg_jsonld":"[{\"@context\": \"https:\/\/schema.org\", \"speakable\": {\"@type\": \"SpeakableSpecification\", \"cssSelector\": [\"article > p:first-of-type\", \".wp-block-details p\", \"article > h1\"]}, \"about\": [{\"@type\": \"Thing\", \"name\": \"Life insurance\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Life_insurance\"}, {\"@type\": \"Thing\", \"name\": \"Term life insurance\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Term_life_insurance\"}], \"mentions\": [{\"@type\": \"Thing\", \"name\": \"Whole life insurance\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Whole_life_insurance\"}, {\"@type\": \"Thing\", \"name\": \"Key person insurance\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Key_person_insurance\"}, {\"@type\": \"Thing\", \"name\": \"Buy-sell agreement\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Buy\u2013sell_agreement\"}, {\"@type\": \"Thing\", \"name\": \"Cash value\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Cash_value\"}, {\"@type\": \"Thing\", \"name\": \"Underwriting\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Underwriting\"}, {\"@type\": \"Thing\", \"name\": \"Insurance policy\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Insurance_policy\"}, {\"@type\": \"Thing\", \"name\": \"Certified Public Accountant\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Certified_Public_Accountant\"}, {\"@type\": \"Thing\", \"name\": \"Insurance broker\", \"sameAs\": \"https:\/\/en.wikipedia.org\/wiki\/Insurance_broker\"}], \"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\/#organization\", \"name\": \"NR CPAs & Business Advisors\", \"url\": \"https:\/\/nrcpas.com\/\"}}, \"publisher\": {\"@type\": \"Organization\", \"@id\": \"https:\/\/nrcpas.com\/life-insurance-guides\/#organization\", \"name\": \"NR CPAs & Business Advisors\", \"url\": \"https:\/\/nrcpas.com\/\"}, \"reviewedBy\": {\"@type\": \"Person\", \"name\": \"Erika Trinidad\", \"jobTitle\": \"Accountant\", \"worksFor\": {\"@type\": \"Organization\", \"@id\": \"https:\/\/nrcpas.com\/life-insurance-guides\/#organization\", \"name\": \"NR CPAs & Business Advisors\", \"url\": \"https:\/\/nrcpas.com\/\"}}, \"inLanguage\": \"en\", \"mainEntity\": [{\"@type\": \"Question\", \"name\": \"Is there one key person insurance calculator answer?\", \"acceptedAnswer\": {\"@type\": \"Answer\", \"text\": \"No single formula fits every practice. 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