COLI

Corporate-Owned Life Insurance

COLI Materials (PDF Format) 
Lincoln:
Simplified Issue Underwriting Program 
Guaranteed Issue Guidelines
Pre-sale Questionnaire

Nationwide

TARGET MARKET

• Owners of small to medium-sized businesses with business continuation needs 
• Business owners who want to recruit, retain, and reward key employees 
• Businesses that may lose key employees if supplemental executive benefits are not offered 
• Business owners with the desire to increase productivity and profits

SALES STRATEGIES

• Deferred Compensation Plan – deferral of current salary or bonuses on a pre-tax basis 
• Bonus Deferral Match – deferral of bonuses with an employer match 
• Supplemental Executive Retirement Plan (SERP) – employer agrees to pay select key employees a specified income for a specified time with no employee deferral 
• Split-Dollar – death benefit Option C gives business recovery of premiums paid, allowing for the employee’s beneficiary to receive the full policy face amount if desired 
• Section 162 Bonus – bonus made to select executives to buy life insurance 
• Key Person Indemnity – life insurance owned by and payable to the business to indemnify it upon the death of a key person 
• Buy-Sell Agreement Funding – life insurance used to fund a buy-sell agreement 

FLEXIBLE UNDERWRITING OPTIONS

• Full medical underwriting on one life 
• Innovative Multi-life Underwriting Programs: 
  – Guaranteed Issue (GI): 10 lives or more with no medical evidence 
  – Expanded Guaranteed Issue (XGI) 
• No Surrender Charges: Sun Executive UL does not carry a surrender charge, offering an accounting benefit to the employer. The first year Cash Surrender value is equal or close to 100% of the premium paid when utilizing the base policy only. Therefore, the asset booked offsets the plan liability.