Life insurance, handled the same way.
Cover for your team, cover for you and the business, or both. Tell us what you're trying to protect and we'll come back with real options.
Life cover is priced on age, health and the amount of cover, so there's no instant number to show you. This starts a conversation, not a checkout.
Protecting your team, or protecting your business.
These get talked about as one product but they solve different problems. Many owners eventually want both — it helps to keep them apart while deciding.
Group life as an employee benefit
A modest amount of cover for every employee, paid for by the business.
A benefit people already understand
Health insurance takes explaining. Life cover doesn’t — everyone knows what it’s for, which makes it easy to talk about when hiring.
Often modest per person
Group term life is priced per thousand dollars of cover and is often one of the lower-cost benefits an employer can add. What it costs for your team depends on your census.
It sits alongside what you already do
If you already fund a health allowance, adding life is a small extra decision rather than a second programme to run.
Key person, buy-sell and loan cover
Cover on the people the business can’t easily replace, with the business or a partner as the beneficiary.
Key person cover
Many locations depend on one or two people. Key person cover pays the business, so it can keep operating while it works out what happens next.
Buy-sell funding
If you have partners, a buy-sell agreement is only as good as the money behind it. Life cover is a common way to fund it.
Loan and franchise requirements
Some lenders, including on certain SBA loans, and some franchise agreements require life cover on the owner. If yours does, this is how that box gets ticked.
How this sits next to your health benefit
Worth being precise about, because the natural assumption is wrong in a way that would cause a real problem at tax time.
An ICHRA allowance can't pay for life insurance
An HRA reimburses medical care. Life insurance premiums aren't a qualified medical expense, so a health allowance can't be spent on this. It's a separate arrangement with a separate cost.
It isn't part of your ICHRA plan documents
Your plan document, summary plan description and employee notices describe the health benefit only. Adding life cover doesn't change them, and the Rikor administration fee doesn't cover it.
One more thing to raise with your accountant: employer-paid group term life above $50,000 of cover per employee generally creates imputed taxable income for that employee under IRC §79. It's routine, but it should be a decision rather than a surprise.
Tell us what you're trying to protect.
A few details is enough to start. We'll come back with what makes sense and what it would realistically cost.
Here for health benefits instead? See what health benefits would cost — that one gives you numbers on screen straight away.