{"id":5010,"date":"2026-10-26T01:22:41","date_gmt":"2026-10-26T01:22:41","guid":{"rendered":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-shareholder-living-in-india\/"},"modified":"2026-10-29T23:23:41","modified_gmt":"2026-10-29T23:23:41","slug":"key-person-insurance-shareholder-living-in-india","status":"publish","type":"page","link":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-shareholder-living-in-india\/","title":{"rendered":"Key Person Insurance for a Shareholder Living in India"},"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-5009\" alt=\"Senior operations manager reviewing 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\/10\/senior-operations-manager-reviewing-production-schedules-at-photo-6.jpg\" width=\"1376\" height=\"768\" srcset=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-reviewing-production-schedules-at-photo-6-150x150.jpg 150w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-reviewing-production-schedules-at-photo-6-300x167.jpg 300w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-reviewing-production-schedules-at-photo-6-768x429.jpg 768w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-reviewing-production-schedules-at-photo-6-1024x572.jpg 1024w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-reviewing-production-schedules-at-photo-6.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)\">Miami, Florida | NRI Life Insurance<\/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)\">Protect Your Business When a Key Shareholder Lives in India<\/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)\">Key person insurance for U.S. companies with a shareholder based in India, reviewed alongside tax and cash flow by a CPA firm. Insurance is offered by a licensed agent.<\/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:+19542316613\">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 October 25, 2026<\/p>\n\n<article lang=\"en\">\n\n\n<p>Key person insurance for shareholder living in India is a policy on one key owner&#8217;s life. The company usually owns it, pays the premiums and receives the death benefit. Living abroad adds questions about underwriting, premium payments, ownership records and tax. This page explains those questions in plain words. Insurance is offered by Nischay Rawal, a licensed insurance agent, separately from the accounting practice of NR CPAs &amp; Business Advisors.<\/p>\n<h2>What Key Person Insurance Covers When the Shareholder Lives in India<\/h2>\n<p>Key person insurance pays a business for financial losses when an important owner or employee dies. 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 this coverage compensates a business for losses caused by a key person&#8217;s death or disability. For the general definition, read our key person insurance guide.<\/p>\n<p>Four roles appear in most arrangements:<\/p>\n<ul>\n<li><strong>The insured:<\/strong> the key person whose life is covered.<\/li>\n<li><strong>The policy owner:<\/strong> the party that holds the policy and its rights.<\/li>\n<li><strong>The premium payer:<\/strong> the party that pays the premiums.<\/li>\n<li><strong>The beneficiary:<\/strong> the party that receives the death benefit.<\/li>\n<\/ul>\n<p>A shareholder living in India raises extra questions. Underwriting, premium routes and ownership records can all change when the insured lives abroad.<\/p>\n<p>This page is for company owners, co-shareholders and family members of a shareholder abroad. You may be handling this for someone else, and that is common. Start by writing down who fills each role.<\/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\/10\/two-professionals-collaborating-at-laptops-in-a-modern-offic-photo-2.jpg\" alt=\"Two professionals work side by side on laptops in a bright, modern office.\" style=\"border-radius:8px;width:100%;aspect-ratio:16\/9;object-fit:cover\"\/><\/figure>\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 you&#x27;re handling this for a partner or relative in India, you don&#x27;t have to sort out ownership, underwriting and tax alone. 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>Who Should Own the Policy: Company, Shareholder or Trust<\/h2>\n<p>The owner controls the policy, so choosing the owner is the first decision. The owner usually decides on beneficiary changes, loans and surrender.<\/p>\n<ul>\n<li><strong>Company owns:<\/strong> The company controls the policy and usually receives the benefit. A business has an insurable interest in a key person, 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>, if the key employee or person consents in writing before the insurance is purchased.<\/li>\n<li><strong>Shareholder owns:<\/strong> The policy sits with the individual.<\/li>\n<\/ul>\n<p>Buyout plans need matching paperwork. For a single-owner setup, see our sole owner guide.<\/p>\n<p>Keep these records on file:<\/p>\n<ul>\n<li>Articles of incorporation and current bylaws<\/li>\n<li>Minutes of shareholder and board meetings<\/li>\n<li>A current list of directors and officers<\/li>\n<li>A shareholder record showing addresses and shares held, as described in <a href=\"https:\/\/www.leg.state.fl.us\/statutes\/index.cfm?App_mode=Display_Statute&amp;URL=0600-0699\/0607\/Sections\/0607.1601.html\">Fla. Stat. \u00a7 607.1601<\/a><\/li>\n<\/ul>\n<p>Confirm these documents with counsel and your CPA. The company&#8217;s own governing papers control.<\/p>\n<h2>How Living in India Affects Underwriting and Issue<\/h2>\n<p>Living in India changes the underwriting questions, and the insurer decides whether to issue a policy. A fully underwritten policy requires health questions, and issue depends on insurability.<\/p>\n<p>The insurer reviews the insured&#8217;s health history, medical records, residence, travel and role in the company. Insurers may request medical or paramedical information gathered in India. Requirements vary by insurer and by the applicant&#8217;s country of residence, so ask early.<\/p>\n<p>Florida law requires the insured to apply for or consent in writing to the contract, on or before it is made, with listed exceptions (<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>). Get that consent in writing before anyone signs.<\/p>\n<p>Underwriters often ask how long the insured has lived abroad, about travel plans, and about the insured&#8217;s job and importance to the company. Ask the insurer in writing whether it issues policies to applicants living in India. A corporate-owned versus key person comparison shows how the company-owned structure is usually evaluated.<\/p>\n<h2>Paying Premiums and Managing Cash Flow from Abroad<\/h2>\n<p>Premiums must reach the insurer on time, from the payer named on the policy. Confirm these details before the first payment:<\/p>\n<ul>\n<li>The payment route the insurer accepts, such as bank transfer<\/li>\n<li>The billing currency and who bears exchange-rate changes<\/li>\n<li>Due dates and billing frequency<\/li>\n<li>The premium payer named on the policy<\/li>\n<\/ul>\n<p>Keep proof of every payment in the company records. If the company pays, the money should come from the company account.<\/p>\n<p>Florida law requires a grace period of at least 30 days for each premium after the first. The policy stays in force during that grace period, and the insurer may charge interest, up to 8 percent a year (<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. \u00a7 627.453<\/a>). Read the lapse terms before paying.<\/p>\n<p>Plan the premium budget in both U.S. dollars and rupees. Review it when exchange rates change. A coverage review maps the premium schedule against the company&#8217;s cash flow.<\/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>Tax Questions to Bring to Your CPA<\/h2>\n<p>Premium deductibility depends on who the beneficiary is, so start there. Federal law denies a deduction for life insurance premiums when the taxpayer is directly or indirectly a beneficiary under the policy or contract (<a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/264\">26 U.S.C. \u00a7 264<\/a>). In most company-owned key person cases, the company is the beneficiary. Don&#8217;t assume premiums are deductible.<\/p>\n<p>Under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">26 U.S.C. \u00a7 101<\/a>, amounts paid because of the insured&#8217;s death are generally excluded from gross income, but the transfer-for-value rule can limit that exclusion. For an employer-owned life insurance contract, the amount excluded from gross income is capped at the premiums and other amounts the policyholder paid for the contract under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">26 U.S.C. \u00a7 101(j)(1)<\/a>, unless one of the exceptions in <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">\u00a7 101(j)(2)<\/a> applies, so the full death benefit may not be tax-free; whether an exception applies should be confirmed with your CPA. The <a href=\"https:\/\/www.irs.gov\/faqs\/interest-dividends-other-types-of-income\/life-insurance-disability-insurance-proceeds\">IRS<\/a> states that interest paid on proceeds held under an agreement to pay interest is taxable. Under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">IRC \u00a7 101(j)(4)<\/a>, the notice and consent requirements that <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">\u00a7 101(j)(2)<\/a> makes a condition of its exceptions for an employer-owned life insurance contract are met if, before the issuance of the contract, the employee (A) is notified in writing that the applicable policyholder intends to insure the employee&#8217;s life and the maximum face amount for which the employee could be insured at the time the contract was issued, (B) provides written consent to being insured under the contract and that such coverage may continue after the insured terminates employment, and (C) is informed in writing that an applicable policyholder will be a beneficiary of any proceeds payable upon the death of the employee.<\/p>\n<p>Bring these questions to your CPA:<\/p>\n<ul>\n<li>Is the premium deductible, given who the beneficiary is?<\/li>\n<li>How will death proceeds be reported, and to whom?<\/li>\n<li>Which records must the company keep, including each insured&#8217;s consent?<\/li>\n<li>Do the tax residence rules of the owner, insured and beneficiary change the answer?<\/li>\n<\/ul>\n<p>The tax review runs alongside the coverage review, so the two match. Rules change, and the answer depends on the facts and the tax year.<\/p>\n<h2>Policy Values, Cancellation and Loans<\/h2>\n<p>Cash value and loans change what the policy is worth to the owner, so read those terms before acting. Ask for guaranteed and non-guaranteed values to be shown separately in any illustration.<\/p>\n<p>Florida law lets an insurer defer a policy loan for six months after application, except for paying a premium to the insurer. That loan rule does not apply to term policies (<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. \u00a7 627.458<\/a>).<\/p>\n<p>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. \u00a7 627.4553<\/a>, when an insurance agent recommends surrendering a life insurance policy that has a cash value and does not recommend using the proceeds to fund or purchase another annuity or life insurance policy, the agent must first provide written information about that policy. The information must include, but is not limited to, the amount of any estimated surrender charge, the loss of any minimum interest rate guarantees, the possibility of tax consequences, the amount of any forfeited death benefit, and a description of any other investment performance guarantees being forfeited as a result of the transaction, and the agent must keep a copy and the date it was provided to the owner.<\/p>\n<p>Policies typically include a review period after delivery. Check its length in your policy and read the document with your CPA during that window. Replacing an existing policy can reduce coverage or create cost, so review any replacement carefully. Ownership changes can also affect values, as described in our sole owner guide.<\/p>\n<h2>Documents to Gather and What a Coverage Review Involves<\/h2>\n<p>A coverage review is the first meeting, where we review the case, ownership and tax questions together. It helps you see what documents the insurer will need before you apply.<\/p>\n<p>Gather these documents:<\/p>\n<ul>\n<li>Government photo identification for each party<\/li>\n<li>Residence and tax records for the insured, owner and beneficiary<\/li>\n<li>Company formation documents and shareholder records<\/li>\n<li>Any existing life insurance or buy-sell policies<\/li>\n<li>A medical history summary for the insured<\/li>\n<li>Premium payment records for existing coverage<\/li>\n<\/ul>\n<p>The process usually runs in these steps:<\/p>\n<ol>\n<li>Coverage review of goals, ownership and tax questions<\/li>\n<li>Documents gathered<\/li>\n<li>Insurer selected by the licensed agent<\/li>\n<li>Application and health questions<\/li>\n<li>Underwriting by the insurer<\/li>\n<li>Policy issued and delivered<\/li>\n<li>Review period after delivery<\/li>\n<\/ol>\n<p>The timeline depends on the insurer&#8217;s underwriting and on how quickly documents arrive. Nischay Rawal, a licensed insurance agent, offers the insurance separately from the accounting practice.<\/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\/10\/colleagues-gather-around-a-table-in-a-modern-office-focused-photo.jpg\" alt=\"Colleagues gather around a table in a contemporary office, focused on a project on a laptop.\" style=\"border-radius:8px;width:100%;aspect-ratio:16\/9;object-fit:cover\"\/><\/figure>\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\">Have questions about what happened?<\/h3><p class=\"wp-block-paragraph\">Ask our team directly. Tell us what you are dealing with and we will explain how the process works from here.<\/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\">Talk to our team<\/a><\/div><div class=\"wp-block-button chg-cta-form\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/nrcpas.com\/contact\">Talk to our team<\/a><\/div><\/div>\n<\/div>\n<h2>Why NR CPAs &amp; Business Advisors and Frequently Asked Questions<\/h2>\n<p>NR CPAs &amp; Business Advisors is a Miami CPA firm that helps families, professionals and business owners across the United States. That includes Indian-American households and business owners. The firm helps them choose and buy life insurance, with a CPA&#8217;s view of tax and cash flow.<\/p>\n<p>Nischay Rawal is the responsible licensed insurance agent for this page. Insurance is offered by him separately from the firm&#8217;s accounting practice. Our team works with that coverage question and the tax and cash flow questions together.<\/p>\n<details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Who is not eligible for key person coverage?<\/summary><p>Eligibility is set by each insurer&#8217;s underwriting. It depends on the insured&#8217;s health, age and role in the company.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>How much does key person insurance cost?<\/summary><p>The premium depends on the insured&#8217;s age, health, coverage amount and the insurer. A coverage review maps those factors to your facts.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Can a shareholder living abroad be the insured?<\/summary><p>Often the insurer reviews this case by case. Under Florida law, for an individual insurance contract (other than a prepaid funeral contract, group life insurance, or group or blanket accident, health, or disability insurance), the insured, having legal capacity to contract, must apply for or consent in writing to the contract on or before entering into it, except that a person with an insurable interest in a minor younger than 15 years of age, or a person upon whom such a minor is dependent for support and maintenance, may obtain a policy of insurance on the minor.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Are key person premiums tax deductible?<\/summary><p>Federal law denies a deduction for premiums when the taxpayer is a beneficiary. The company is usually the beneficiary, so confirm the result with your CPA.<\/p><\/details>\n<p>If you&#8217;re handling this for a partner or relative in India, you don&#8217;t have to sort out ownership, underwriting and tax alone. <a href=\"https:\/\/nrcpas.com\/contact\">Contact NR CPAs &amp; Business Advisors<\/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 families and business owners work with us<\/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--lightbulb\"><\/span><\/p><h3 class=\"wp-block-heading\">A CPA&#x27;s view of tax and cash flow<\/h3><p class=\"wp-block-paragraph\">We look at how a policy&#x27;s premiums and proceeds fit the company&#x27;s books and your personal tax picture, not only the coverage amount.<\/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\">Experience with NRI households and owners<\/h3><p class=\"wp-block-paragraph\">We help Indian-American families and business owners with life insurance decisions that cross the U.S. and India.<\/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\">Plain-language explanations<\/h3><p class=\"wp-block-paragraph\">We explain key person, buy-sell and whole life terms in everyday words before any decision is made.<\/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--phone\"><\/span><\/p><h3 class=\"wp-block-heading\">Direct contact with our team<\/h3><p class=\"wp-block-paragraph\">Our team, with support staff, is available to answer questions about your shareholder&#x27;s coverage and the next steps.<\/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\">Before you decide<\/h3><p class=\"wp-block-paragraph\">Insurance is offered by Nischay Rawal, a licensed insurance agent, separately from the accounting practice. Eligibility and premiums depend on the insurer&#x27;s underwriting, including the insured&#x27;s health, age and role in the company. Ask us to explain the terms, limits and exclusions of any policy before you apply.<\/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:+19542316613\">Ask us about your case<\/a><\/div><div class=\"wp-block-button chg-cta-form\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/nrcpas.com\/contact\">Ask us about your case<\/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\">What a coverage review looks at<\/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\">The shareholder&#x27;s role<\/h3><p class=\"wp-block-paragraph\">We review how the shareholder contributes to the business and what the company would need if that role were lost.<\/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\">Business cash flow<\/h3><p class=\"wp-block-paragraph\">We look at how the company would pay premiums and how any proceeds would be used in its operations.<\/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\">Ownership and tax<\/h3><p class=\"wp-block-paragraph\">We review the company&#x27;s ownership structure, buy-sell terms and how tax treatment may affect the decision.<\/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\">Your next step<\/h3><p class=\"wp-block-paragraph\">Share your facts with us, and we will explain the options and what each would involve for your situation.<\/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 your business. Call us today to set up 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:+19542316613\">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<!-- 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-shareholder-loans-comparison\/\">Key Person Insurance Versus Shareholder Loans: What Owners Should Compare Before Deciding<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-single-owner-llc\/\">Key Person Insurance for Sole Owners and Single-Member LLCs<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-small-business\/\">Key Person Insurance for Small Business Owners<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-spouse-in-family-business\/\">Key Person Insurance on a Spouse Who Works in a Family Business<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-staffing-agency\/\">Key Person Insurance for a Staffing Agency: Protecting Placement Revenue When the Owner Leaves<\/a><\/li><\/ul>\n<\/nav>\n<!-- \/chg:section-siblings -->","protected":false},"excerpt":{"rendered":"<p>Key person insurance for a shareholder living in India: ownership, underwriting from abroad, premium payments and tax questions for your CPA.<\/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":"","chg_jsonld":"[{\"name\": \"Key Person Insurance Coverage Review for a Shareholder Living in India\", \"@type\": [\"Service\", \"FAQPage\"], \"about\": {\"name\": \"key person insurance for shareholder living in India\", \"@type\": \"Thing\"}, \"@context\": \"https:\/\/schema.org\", \"audience\": {\"@type\": \"Audience\", \"audienceType\": \"U.S. business owners, co-shareholders and family members of Indian-American shareholders weighing key person coverage for a shareholder based in India\"}, \"provider\": {\"@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\": \"United States\", \"@type\": \"Country\"}, \"description\": \"Informational guide and coverage review for key person insurance when a shareholder lives in India. Covers who should own, pay for and receive the policy, underwriting and issue from abroad, premium payment from outside the United States, tax questions to raise with a CPA, policy values and the 14-day free-look period, and the documents needed for a coverage review.\", \"serviceType\": \"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\"]}, \"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\"}, \"inLanguage\": \"en\", \"mainEntity\": [{\"@type\": \"Question\", \"name\": \"Who is not eligible for key person coverage?\", \"acceptedAnswer\": {\"@type\": \"Answer\", \"text\": \"Eligibility is set by each insurer's underwriting. It depends on the insured's health, age and role in the company.\"}}, {\"@type\": \"Question\", \"name\": \"How much does key person insurance cost?\", \"acceptedAnswer\": {\"@type\": \"Answer\", \"text\": \"The premium depends on the insured's age, health, coverage amount and the insurer. A coverage review maps those factors to your facts.\"}}, {\"@type\": \"Question\", \"name\": \"Can a shareholder living abroad be the insured?\", \"acceptedAnswer\": {\"@type\": \"Answer\", \"text\": \"Often the insurer reviews this case by case. Under Florida law, for an individual insurance contract (other than a prepaid funeral contract, group life insurance, or group or blanket accident, health, or disability insurance), the insured, having legal capacity to contract, must apply for or consent in writing to the contract on or before entering into it, except that a person with an insurable interest in a minor younger than 15 years of age, or a person upon whom such a minor is dependent for support and maintenance, may obtain a policy of insurance on the minor.\"}}, {\"@type\": \"Question\", \"name\": \"Are key person premiums tax deductible?\", \"acceptedAnswer\": {\"@type\": \"Answer\", \"text\": \"Federal law denies a deduction for premiums when the taxpayer is a beneficiary. The company is usually the beneficiary, so confirm the result with your CPA.\"}}]}, {\"@context\": \"https:\/\/schema.org\", \"@type\": \"BreadcrumbList\", \"itemListElement\": [{\"@type\": \"ListItem\", \"position\": 1, \"name\": \"Home\", \"item\": \"https:\/\/nrcpas.com\/life-insurance-guides\/\"}, {\"@type\": \"ListItem\", \"position\": 2, \"name\": \"Key Person Insurance\", \"item\": \"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/\"}, {\"@type\": \"ListItem\", \"position\": 3, \"name\": \"Key Person Insurance for a Shareholder Living in India\", \"item\": \"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-shareholder-living-in-india\/\"}]}]","chg_meta_description":"Key person insurance for a shareholder living in India: ownership, underwriting from abroad, premium payments and tax questions for your CPA.","footnotes":""},"class_list":["post-5010","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/pages\/5010","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/comments?post=5010"}],"version-history":[{"count":5,"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/pages\/5010\/revisions"}],"predecessor-version":[{"id":7800,"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/pages\/5010\/revisions\/7800"}],"up":[{"embeddable":true,"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/pages\/16"}],"wp:attachment":[{"href":"https:\/\/nrcpas.com\/life-insurance-guides\/wp-json\/wp\/v2\/media?parent=5010"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}