Health · Chapter 16 · Business & Special Uses
Key Person Disability Insurance
Definition
Pays the business (owner, payor, beneficiary) when a key employee is disabled — funding replacement help, outside services, and lost income. Benefit = the key person's economic value; lump sum or monthly; elimination usually 30–90 days, benefit period 1–2 years.
Easy to confuse with
These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.
Related terms