{"id":6906,"date":"2026-10-28T03:27:50","date_gmt":"2026-10-28T03:27:50","guid":{"rendered":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-partner-outside-us\/"},"modified":"2026-10-30T08:26:05","modified_gmt":"2026-10-30T08:26:05","slug":"key-person-insurance-partner-outside-us","status":"publish","type":"page","link":"https:\/\/nrcpas.com\/life-insurance-guides\/key-person-insurance\/key-person-insurance-partner-outside-us\/","title":{"rendered":"Key Person Insurance for Partner Outside US | NR CPAs"},"content":{"rendered":"\n
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Key Person Insurance | Miami, Florida<\/p>

Key Person Insurance for a Partner Living Outside the US<\/h1>

When a business partner lives abroad, the company still depends on that person's skills and work. NR CPAs & Business Advisors helps Florida business owners review key person coverage with a CPA's view of tax and cash flow.<\/p>

Call us today<\/a><\/div>
Call us today<\/a><\/div><\/div>\n<\/div><\/div>\n\n\n\n
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How we approach cross-border key person coverage<\/h2>\n

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Start with the business's exposure<\/h3>

We look at what the partner contributes to revenue, operations and relationships, and what the business would need if that contribution stopped.<\/p><\/div>

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Review the policy structure<\/h3>

We walk through policy type, ownership, premium payer and beneficiary so the coverage matches the business's goals.<\/p><\/div>

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Plan for the partner's location<\/h3>

A partner who lives or works outside the US raises questions about residency, citizenship and the insurer's requirements. We help you ask them before you apply.<\/p><\/div>

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Look at tax and cash flow<\/h3>

As a CPA firm, we consider how premiums, ownership and any proceeds may affect the business's taxes and cash flow.<\/p><\/div><\/div>\n\n<\/div>\n\n\n

By Nischay Rawal \u00b7 Published October 27, 2026<\/p>\n\n

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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

Short answer: can the business buy coverage on a partner living abroad?<\/h2>\n

It can depend on the facts. Whether it works depends on the facts, so the details below matter.<\/p>\n

Key person insurance is a policy the business applies for, owns and pays premiums on. The insured is a person whose death would cause the business a financial loss. The business can be the beneficiary only if it has an insurable interest in the insured at the time the contract is made, and then it receives the death benefit.<\/p>\n

For the general structure, read our key person insurance guide<\/a>. This page covers the question that changes when the insured person lives abroad.<\/p>\n\n

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What key person insurance is and who owns, pays and receives the policy<\/h2>\n

The business usually owns the policy, pays the premiums and receives the death benefit. Every policy has four roles: the owner, the insured, the payor and the beneficiary. Usually the business fills the owner and beneficiary roles, and the insured is an owner, director, officer, partner, manager or key employee, if written consent is obtained from that person before the insurance is purchased.<\/p>\n

The business holds these roles because it is the party that loses money if that person dies. The payout can help cover lost profits, pay for finding a replacement or fund a buyout under a buy-sell agreement.<\/p>\n

Where the partner lives does not change these roles by itself. It can change which insurers will issue the policy and what paperwork they ask for. The insurer named on the policy is the company that issues it and pays claims. NR CPAs & Business Advisors is an accounting firm. It does not operate as the insurer.<\/p>\n

Insurable interest: what the business must show for a partner abroad<\/h2>\n

A business needs an insurable interest in the partner’s life when it buys the policy. Under Fla. Stat. \u00a7 627.404<\/a>, a business entity has an insurable interest in the life, body, and health of its owners, directors, officers, partners, managers, and key employees or key persons, if consent is obtained in writing from those key employees or persons before the insurance is purchased. Florida law sets this test. Fla. Stat. \u00a7 627.404<\/a> allows a business to insure the life of its owners, partners, managers and key persons. That applies only when those persons give written consent before the insurance is bought. Fla. Stat. \u00a7 627.404<\/a> reads: “(5) A contract of insurance upon a person, other than a policy of prepaid funeral contract; group life insurance; or group or blanket accident, health, or disability insurance, may not be carried out unless, on or before the time of entering into such contract, the person insured, having legal capacity to contract, applies for or consents in writing to the contract and its terms, except that any person having an insurable interest in the life of a minor younger than 15 years of age or any person upon whom a minor younger than 15 years of age is dependent for support and maintenance may obtain a policy of insurance on the minor.”<\/p>\n

The business must have written consent from the key employees or persons before the insurance is purchased, and it should keep records that show that consent. Documents that help include:<\/p>\n