DFW is home to more corporate relocations and business formations than any other Texas metro. Behind every thriving Dallas business is a handful of key people. When one of them dies without a plan, the ripple effects can be catastrophic. Tower Hill specializes in exactly this.
Three reasons Dallas business protection clients trust us with their families.
Dallas's real estate, financial services, and professional sectors are full of two- and three-person partnerships. Without a funded buy-sell agreement, the wrong people can end up owning your business when a partner dies.
Many Dallas small businesses carry SBA loans or commercial lines of credit that require life insurance assignment. A key person policy satisfies that requirement while actually protecting the business simultaneously.
Key person insurance in Dallas is increasingly used as a retention tool — the business owns the policy, but the key employee knows their family is protected. It strengthens loyalty in a competitive hiring market.
Three tiers of coverage — choose what fits your Dallas life and budget.
Key person insurance is a company-owned life policy on an irreplaceable employee or owner. The death benefit funds the business transition — covering revenue loss, recruitment costs, and loan obligations — while you find and train a replacement.
Common approaches: 5–10× the key person's annual compensation, or a percentage of revenue directly attributable to them. In Dallas professional services, key persons often represent 30–60% of firm revenue.
Yes. Entity-owned key person policies are standard practice. Premium payments are generally not tax-deductible, but death benefits are typically income-tax-free under IRC §101. Consult your CPA for entity-specific tax treatment.
Partners each own policies on the other partners. At death, the surviving partner uses the death benefit to buy out the deceased's equity from the estate — maintaining ownership within the existing partnership.
Business Overhead Expense disability insurance covers operating expenses if the key person is disabled. It's a separate product that Tower Hill can coordinate with your key person life policy into a comprehensive plan.
Tower Hill serves all major Texas markets with licensed advisors and instant coverage decisions.
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Tower Hill Corp • TX License #2608479TX • Licensed in Dallas County