Bank Owned Life Insurance (BOLI)A Bank Owned Life Insurance program is offered to a bank as an opportunity to take advantage of using life insurance to cover key employees and tax deferred cash value growth. A BOLI use includes:
- Key-person insurance
- Insurance on borrowers
- Funding of employee compensation or benefit plans
- Insurance taken as security for a loan
Corporate Owned Life Insurance (COLI)
A Corporate Owned Life Insurance program is owned by the employer corporation who insures employees’ lives, with benefits payable to the corporation or a trust (TOLI) typically used to fund benefits. Corporations purchase a COLI to mitigate the financial costs of losing key employees to unexpected death, the risk of recruiting and training replacements of necessary or highly-trained personnel, or to fund corporate obligations to redeem stock upon death of an owner.
Spring has decades of experience working with employers and individuals to identify the right life insurance plan to meet their objectives. Contact us for more information about our BOLI, COLI or any other life insurance products and services.