{"id":6874,"date":"2026-10-28T02:15:23","date_gmt":"2026-10-28T02:15:23","guid":{"rendered":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-real-estate-developer\/"},"modified":"2026-10-29T23:31:32","modified_gmt":"2026-10-29T23:31:32","slug":"key-person-insurance-real-estate-developer","status":"publish","type":"page","link":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-real-estate-developer\/","title":{"rendered":"Key Person Insurance for Real Estate Developers | 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-80 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-6872\" alt=\"Senior operations manager at a workstation reviewing production schedules in a manufacturing facility.\" src=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-at-a-workstation-reviewing-product-photo.jpg\" width=\"1376\" height=\"768\" srcset=\"https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-at-a-workstation-reviewing-product-photo-150x150.jpg 150w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-at-a-workstation-reviewing-product-photo-300x167.jpg 300w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-at-a-workstation-reviewing-product-photo-768x429.jpg 768w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-at-a-workstation-reviewing-product-photo-1024x572.jpg 1024w, https:\/\/nrcpas.com\/life-insurance-guides\/wp-content\/uploads\/2026\/10\/senior-operations-manager-at-a-workstation-reviewing-product-photo.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)\">Real Estate Developers | 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)\">Key Person Insurance for Real Estate Developers<\/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 Miami CPA firm helps development companies plan coverage for the leaders their projects depend on, with a CPA&#x27;s view of tax and cash flow. Insurance is offered by Nischay Rawal, a licensed insurance agent, separately from the firm&#x27;s accounting practice.<\/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 27, 2026<\/p>\n\n<article lang=\"en\">\n\n\n<p><a href=\"\/life-insurance-guides\/key-person-insurance\/\">Key person insurance<\/a> for a real estate developer is a life insurance policy the company buys on a key owner or leader, with the company as beneficiary. Developers searching for key person insurance real estate developer coverage usually want one answer first: what the policy pays for. This page answers that, then covers how the process works, how taxes are generally treated, and who may run into underwriting limits.<\/p>\n<h2>What Key Person Insurance Is and Who It Is For<\/h2>\n<p>Key person insurance is a life insurance policy a business owns on the life of someone it depends on. According to 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 guide<\/a>, the benefit helps compensate the business for financial losses caused by that person&#8217;s death or disability.<\/p>\n<p>Development companies often fit this profile. Deal flow, lender relationships, and entitlement or construction know-how may sit with one or two principals. If one of them is lost, the whole company can feel it.<\/p>\n<p>Key person coverage is different from two other products:<\/p>\n<ul>\n<li><strong>Personal life insurance<\/strong> is bought by the individual, and the benefit goes to family.<\/li>\n<li><strong>Buy-sell insurance<\/strong> is used to fund an ownership transfer when an owner leaves or dies.<\/li>\n<\/ul>\n<blockquote>\n<p><strong>Licensing note:<\/strong> Nischay Rawal, a licensed insurance agent, is the responsible agent for this page. Insurance is offered by the licensed agent, separately from the accounting practice of NR CPAs &amp; Business Advisors.<\/p>\n<\/blockquote>\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\/three-people-wearing-hard-hats-review-floor-plans-together-o-photo.jpg\" alt=\"Three people wearing hard hats review floor plans together on a laptop indoors.\" 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\">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>What the Policy Helps Offset in a Development Company<\/h2>\n<p>The policy helps the company cover the financial effects of losing a key principal. It does not keep a project on schedule or secure financing.<\/p>\n<p>Possible areas of impact include:<\/p>\n<ul>\n<li><strong>Lost leadership<\/strong> during pre-development, entitlements, or construction draws.<\/li>\n<li><strong>Lender or investor concern<\/strong> when a sponsor or guarantor is no longer involved. A continuity plan may help that conversation, but lenders set their own rules.<\/li>\n<li><strong>Hiring costs<\/strong> for a replacement or temporary help with the principal&#8217;s skills. The amount depends on the company and the role.<\/li>\n<\/ul>\n<p>What the coverage does not do:<\/p>\n<ul>\n<li>It does not guarantee project completion, a loan renewal, or any return.<\/li>\n<li>The company still must manage its debts and contracts.<\/li>\n<li>How a lender views the coverage is the lender&#8217;s decision, so confirm lender requirements with the lender.<\/li>\n<\/ul>\n<h2>How the Process Works, Step by Step<\/h2>\n<p>The process starts with a coverage review and moves through application, underwriting, and ownership setup. Timing varies by insurer and by the facts of each case.<\/p>\n<ol>\n<li><strong>Coverage review.<\/strong> Our team meets with you to go over ownership, debt, key roles, and the principal&#8217;s age and health history.<\/li>\n<li><strong>Choose the policy type.<\/strong> Term and whole life are the two common choices. The <a href=\"https:\/\/content.naic.org\/sites\/default\/files\/publication-lig-lp-consumer-life.pdf\">NAIC Life Insurance Buyer&#8217;s Guide<\/a> explains the difference between term and permanent life insurance. Nischay Rawal names the insurer for any specific policy proposed.<\/li>\n<li><strong>Application.<\/strong> Health questions are required. A fully underwritten policy may also need an exam or records, and issue may depend on insurability.<\/li>\n<li><strong>Underwriting and issue.<\/strong> The insurer reviews the application and decides whether to issue the policy and on what terms.<\/li>\n<li><strong>Ownership and beneficiary setup.<\/strong> The company is named as owner and beneficiary, and the setup is recorded in company files.<\/li>\n<li><strong>Annual review.<\/strong> Partners, debt, and ownership change over time, so the coverage should be reviewed too.<\/li>\n<\/ol>\n<h2>How Premiums and Death Benefits Are Generally Taxed<\/h2>\n<p>Premiums the company pays are not addressed by this section. Under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">IRC \u00a7 101(1)<\/a>, amounts received under a life insurance contract paid by reason of the insured&#8217;s death are generally excluded from gross income, except as otherwise provided in paragraphs (2) and (3), subsection (d), subsection (f), and subsection (j). Federal law sets these rules, and the policy&#8217;s facts matter.<\/p>\n<ul>\n<li><strong>Premiums.<\/strong> Section 101 does not address whether premiums on a life insurance policy are deductible; it provides that gross income does not include amounts received under a life insurance contract paid by reason of the insured&#8217;s death.<\/li>\n<li><strong>Death benefit.<\/strong> Under <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">26 U.S.C. \u00a7 101(a)<\/a>, amounts paid because of the insured&#8217;s death are generally excluded from gross income. When an employer-owned life insurance contract is involved, subsection (j) generally caps the amount an applicable policyholder may exclude at the sum of the premiums and other amounts it paid for the contract. That cap is subject to the exceptions and conditions set out in the subsection, including for certain amounts paid to a member of the insured&#8217;s family, to a designated beneficiary other than the policyholder, to a trust established for such a person, or to the insured&#8217;s estate.<\/li>\n<li><strong>Interest.<\/strong> Interest paid on proceeds left with the insurer is taxable, according to 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><strong>Whole life values.<\/strong> Whole life has cash value. Dividends are not guaranteed, so guaranteed and non-guaranteed values are shown separately, with every limitation stated.<\/li>\n<li><strong>Term terms.<\/strong> The contract sets the premium payment period, renewability, cancellability, and any age-based change. We review those terms in the coverage review.<\/li>\n<\/ul>\n<p>From a CPA&#8217;s view, the premium should fit the company&#8217;s cash flow and debt schedule. Our firm checks that fit before the policy is chosen.<\/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\">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>Who May Not Qualify and What Affects Issue<\/h2>\n<p>Coverage may be declined or priced differently for a principal with certain health conditions. The business also needs a legal reason to insure that person.<\/p>\n<ul>\n<li><strong>Insurable interest.<\/strong> Florida law allows a business to insure owners, officers, partners, managers, and key persons if written consent is obtained from them before the insurance is purchased. The business may not retaliate against someone who declines consent.<\/li>\n<li><strong>Underwriting factors.<\/strong> Insurers look at age, health history, medications, tobacco use, and sometimes occupation and travel. Any of these may affect issue or premium.<\/li>\n<li>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>, a life policy must become incontestable after it has been in force during the insured&#8217;s lifetime for two years from its date of issue, except for nonpayment of premiums and, at the insurer&#8217;s option, provisions on disability benefits and additional accidental-death insurance.<\/li>\n<li><strong>Age errors.<\/strong> 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. \u00a7 627.456<\/a>, if the insured&#8217;s age was misstated, the benefit is adjusted to what the premium would have bought at the correct age.<\/li>\n<li><strong>Grace period.<\/strong> 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. \u00a7 627.453<\/a>, a grace period of at least 30 days applies to premiums after the first.<\/li>\n<li><strong>Employees.<\/strong> If the company owns policies on employees, federal law requires a return and records of consent. See <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/6039I\">26 U.S.C. \u00a7 6039I<\/a>.<\/li>\n<li><strong>Ownership changes.<\/strong> A new partner or a transfer of interest can change the plan, so it should be reviewed.<\/li>\n<\/ul>\n<h2>Why NR CPAs &amp; Business Advisors Handles This Coverage<\/h2>\n<p>NR CPAs &amp; Business Advisors is a Miami CPA firm that helps families, professionals, and business owners choose and buy life insurance. That includes Indian-American households and business owners.<\/p>\n<ul>\n<li><strong>Licensed agent.<\/strong> Nischay Rawal is the responsible licensed insurance agent for this page.<\/li>\n<li><strong>CPA lens.<\/strong> The coverage review looks at the company&#8217;s balance sheet, ownership agreement, and lender terms alongside the policy.<\/li>\n<li><strong>Team support.<\/strong> Our team supports the review and the paperwork that follows.<\/li>\n<li><strong>Separate practices.<\/strong> Insurance is offered by the licensed agent, separately from the accounting practice.<\/li>\n<\/ul>\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-business-professional-hands-keys-to-smiling-clients-across-photo.jpg\" alt=\"A business professional hands keys to smiling clients across an office desk during a consultation.\" style=\"border-radius:8px;width:100%;aspect-ratio:16\/9;object-fit:cover\"\/><\/figure>\n<h2>Questions Owners Ask, and Your Next Step<\/h2>\n<p>Key person insurance is a company-owned life policy that helps offset losses if a key principal dies or becomes disabled.<\/p>\n<details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>What is the purpose of key person insurance?<\/summary><p class=\"wp-block-paragraph\">It helps a business cover financial losses after the death or disability of a key owner or leader.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Is the policy the company&#8217;s asset?<\/summary><p class=\"wp-block-paragraph\">When the business is the beneficiary, the tax treatment of the death benefit is governed by <a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/101\">IRC \u00a7 101<\/a>, and the rules for employer-owned contracts are set out in subsection (j).<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Can a lender require it?<\/summary><p class=\"wp-block-paragraph\">Lenders set their own requirements, so confirm them with the lender before you apply.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>How is it different from buy-sell insurance?<\/summary><p class=\"wp-block-paragraph\">Key person coverage protects the business from losing a key person. Buy-sell insurance funds an ownership transfer.<\/p><\/details><details class=\"wp-block-details chg-faq is-layout-flow wp-block-details-is-layout-flow\"><summary>Who may not qualify?<\/summary><p class=\"wp-block-paragraph\">Insurers may decline or charge more based on underwriting, including health history.<\/p><\/details>\n<p>Fees for a coverage review are disclosed in writing before any engagement. 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 that accepts a commission on a sale must disclose that in writing to the client.<\/p>\n<p>A principal&#8217;s health or a recent loss can leave a company planning in a hurry. If that is your situation, our team can arrange a <a href=\"https:\/\/nrcpas.com\/contact\">coverage review<\/a> to walk through the options.<\/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\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\">Want to know where you stand?<\/h3><p class=\"wp-block-paragraph\">Tell us about your situation and our team will walk you through the options available to you.<\/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\">Request 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\">Request a coverage review<\/a><\/div><\/div>\n<\/div>\n<h2 class=\"wp-block-heading has-text-align-center\">Why developers work with NR CPAs<\/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 the numbers<\/h3><p class=\"wp-block-paragraph\">We look at how a key person policy fits with the company&#x27;s cash flow, tax position and existing debt, 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\">Built for owner-led businesses<\/h3><p class=\"wp-block-paragraph\">Development firms often rely on one or two principals for financing, approvals and construction oversight. We focus on how that dependence is reflected in the 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--document\"><\/span><\/p><h3 class=\"wp-block-heading\">Plain-language explanations<\/h3><p class=\"wp-block-paragraph\">We explain how whole life and term coverage work, what the policy does and does not do, and which terms matter before you decide.<\/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\">A direct conversation<\/h3><p class=\"wp-block-paragraph\">Our team will walk you through your company&#x27;s structure and answer your questions about key person coverage.<\/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 apply<\/h3><p class=\"wp-block-paragraph\">Key person insurance requires health questions, and issue may depend on insurability. Policy benefits, limitations, exclusions and premiums vary by policy and by the insurer. The company is the policy owner and beneficiary in this type of coverage, so the policy should be reviewed with your attorney and CPA.<\/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\">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\">What a coverage review covers<\/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\">Who the coverage is for<\/h3><p class=\"wp-block-paragraph\">We identify the principals, partners and project leaders whose loss would affect financing, bonding, lender relationships or ongoing projects.<\/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\">How the policy fits the business<\/h3><p class=\"wp-block-paragraph\">We compare whole life and term coverage in light of the company&#x27;s time horizon, cash flow and other planning goals.<\/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\">Coordination with other agreements<\/h3><p class=\"wp-block-paragraph\">We review how key person coverage relates to buy-sell arrangements, operating agreements and estate planning already in place.<\/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\">Ready to talk about coverage for your development company?<\/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 to schedule a coverage review<\/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 to schedule a coverage review<\/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\/key-person-insurance-trucking-company\/\">Key Person Insurance for a Trucking or Logistics Owner-Operator Company<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-farm-business\/\">Key Person Insurance for an Agricultural or Farm Business<\/a><\/li><li>How Do I Replace a Key Employee&#8217;s Income If They Die?<\/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-renewal-age-based-premiums\/\">What Does Key Person Insurance Do to Your Renewal Premium as You Age?<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-reporting-proceeds\/\">How Do I Tell the IRS About Key Person Insurance Proceeds? A CPA&#x27;s Reporting Checklist<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-restaurant-hospitality\/\">Key Person Insurance for Restaurant and Hospitality Owners in Florida<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-revenue-multiple-worksheet\/\">Key Person Insurance Amount by Revenue Multiple: A Worksheet for Business Owners<\/a><\/li><li><a href=\"\/life-insurance-guides\/key-person-insurance\/key-person-insurance-shareholder-living-in-india\/\">Key Person Insurance for a Shareholder Who Lives in India: Coverage and Ownership Questions<\/a><\/li><\/ul>\n<\/nav>\n<!-- \/chg:section-siblings -->","protected":false},"excerpt":{"rendered":"<p>Key person insurance for a real estate developer: what it covers, how underwriting works, and how premiums and proceeds are taxed. 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