California Executive Benefits
You want to attract the best top-level employees to your company, and keep these valuable people working for you by rewarding their excellent achievements. By providing specialized and additional insurance benefits, you protect your executive talent, retaining their skills for the success of your business.
California business insurance executive benefits may be grouped as nonqualified executive benefits packages or selected separately, depending upon your needs. Nonqualified plans are those that do not meet the broad requirements for standard tax-qualified plans.
Read about some of the choices you can make, decide what would work best for you key employees and your company, and check out the cost with easy-to-obtain quotes.
Supplemental Disability Income Insurance for Higher-Paid Employees
Standard California disability income insurance plans do not necessarily cover your executive workers adequately because the plans have a maximum benefit. A supplemental disability program provides highly paid employees with coverage that more fairly compensates them for their level of income and provides them with total benefits that match the percentage of lesser paid workers.
Bonus Plans and Split-Dollar Plans for Purchasing Additional Insurance
For bonus plans, your business recognizes key employee achievements with bonus compensation that executives can use to purchase personal life insurance, disability insurance, health insurance, or annuities, for example
For split-dollar plans, your business helps executives purchase cash-value life insurance by splitting the premiums. The company and beneficiaries also split the cash value and death benefit upon receipt.
Protecting Your Leaders with D&O Liability Insurance
Directors and officers insurance (D&O) provides legal expenses and financial help if directors or officers of your company are caught in a lawsuit resulting from the performance of their company duties. D&O insurance protects your board of directors and executive officers from being held individually responsible for business-related issues.
D&O may also include Employee Practices Litigation Insurance (EPLI) which provides legal fees for claims of discrimination and harassment, for example.
Protecting Your Business with Life Insurance for Key Members
A standard life insurance policy helps the family of the deceased, but to protect your company, you may need additional life insurance for key employees, partners, or co-owners. A policy such as this lists the company as the beneficiary, so that your business can continue operating in the event of the death one of your key leaders.
Protecting Your Human Resources Decision-Makers with a Liability Insurance Endorsement
For your company, whether you or an employee are managing employee benefits, you may add an endorsement to your California business insurance to protect the company and the personnel who manage human resources against claims of faulty or negligent administration.
Executive Retirement Benefits
You may also want to provide your key employees with incentives linked specifically to their retirement. A common choice that helps top-paid executives prepare for retirement are nonqualified deferred compensation plans. These plans are helpful because they provide some tax shelters, and unlike qualified 401(k) plans that have limits on how much money can be deferred, these plans allow key employees to defer and shelter more of their income for retirement.
Supplemental executive retirement plans (SERP) or other pension plans can extend the company’s normal pension plan providing more flexible benefits for company executives. Or the company can help executives set up special individual retirement plans.
Sharing in the Profits
Many companies offer their key executives the ability to purchase stock, thereby investing in the success of the business.
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