{"id":4697,"date":"2026-10-24T07:46:59","date_gmt":"2026-10-24T07:46:59","guid":{"rendered":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-physician-practice\/"},"modified":"2026-10-29T23:23:05","modified_gmt":"2026-10-29T23:23:05","slug":"key-person-insurance-physician-practice","status":"publish","type":"page","link":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-physician-practice\/","title":{"rendered":"Key Person Insurance for Medical Practice | NR CPAs"},"content":{"rendered":"\n
<\/span>\"Operations
\n

Key Person Insurance | Miami, Florida<\/p>

Key Person Insurance for Your Medical Practice<\/h1>

Life insurance that your practice owns on an essential physician, reviewed with a CPA's view of tax and cash flow. Insurance is offered by Nischay Rawal, a licensed insurance agent, separately from our accounting practice.<\/p>

Call us today<\/a><\/div>
Call us today<\/a><\/div><\/div>\n<\/div><\/div>\n\n\n

By Nischay Rawal \u00b7 Published October 24, 2026<\/p>\n\n

\n\n\n

Key person insurance pays a medical practice if a physician owner, or a doctor the practice depends on, dies. The practice owns the policy, pays the premiums, and receives the death benefit. This guide explains key person insurance for medical practice in plain words, so you can decide what to review next.<\/p>\n

What key person insurance is for a physician-owned practice<\/h2>\n

Key person insurance is life insurance that a business owns on the life of someone whose work it depends on. The Insurance Information Institute<\/a> describes it as compensating a business for financial losses caused by the death or disability of a key employee.<\/p>\n

In a medical practice, that person is often a physician owner whose patients, referrals, and procedures drive collections. The practice is the policy owner and the beneficiary. The physician’s personal life insurance is a separate matter.<\/p>\n

Key person coverage is usually written as whole life or term life. Whole life is permanent coverage. Term life covers a set number of years.<\/p>\n

Florida law lets a business entity insure its owners, partners, or key persons. The business needs written consent from that person before it buys the policy. The business may not retaliate against a key person who refuses consent (Fla. Stat. \u00a7 627.404<\/a>).<\/p>\n

This coverage fits solo physicians, partnerships, and multi-owner groups in Florida. It fits best when one doctor’s absence would strain collections, scheduling, or payer relationships.<\/p>\n

Insurance is offered by Nischay Rawal, a licensed insurance agent, separately from the accounting practice. Florida law requires an agent to clearly say they act as an insurance agent and to identify the insurers involved (Fla. Stat. \u00a7 626.9531<\/a>).<\/p>\n\n

\"Two<\/figure>\n\n
\n

Not sure what your next step is?<\/h3>

Talk it through with our team — we can walk you through how a situation like yours is usually handled and what your options are.<\/p>

Schedule a coverage review<\/a><\/div>
Schedule a coverage review<\/a><\/div><\/div>\n<\/div>\n

What the death benefit can cover<\/h2>\n

The death benefit goes to the practice, and the practice decides how to use it. Common uses include:<\/p>\n