Business Life Insurance
Business life insurance is a policy taken by a business to protect against financial losses from the death of an owner or key employee. It ensures business continuity by providing funds to cover expenses or buy out shares if needed.
Key Man Insurance
Key Man Insurance provides financial compensation to a business upon the death or disability of a vital employee whose expertise or leadership is crucial to the company’s success. This coverage helps offset potential losses and expenses associated with finding and training a replacement.
Who qualifies as a key person?
An individual whose skills, knowledge, or leadership are essential to the company's profitability and operations.
How is the coverage amount determined?
It's based on the potential financial impact of losing the key person, including lost profits and recruitment costs.
Who owns the policy?
Typically, the business owns and is the beneficiary of the policy.
How is your Keyman sum assured/determined?
First Sun will need to do a needs analysis for you . Click get a qoute for further info.
Shareholder Protection
Shareholder Protection Insurance ensures that, upon the death or critical illness of a shareholder, the remaining shareholders have the funds to purchase the deceased’s shares. This arrangement prevents external parties from acquiring shares and maintains business control within the existing ownership.
Why is Shareholder Protection important?
It safeguards the company's ownership structure and ensures smooth succession planning.
How is the policy structured?
Each shareholder takes out a policy on their own life, with the other shareholders as beneficiaries.
What triggers a payout?
The death or diagnosis of a critical illness of a shareholder.
How is your shareholder protection sum assured/determined?
First Sun will need to do a needs analysis for you. Click get a qoute for further info.
Buy & Sell Agreements
A Buy & Sell Agreement is a legally binding contract outlining the procedure for transferring a departing owner’s business interest, due to death or disability, to the remaining owners. Funded by life insurance policies, it ensures a smooth transition and fair compensation.
What is the purpose of a Buy & Sell Agreement?
To provide a clear plan for business succession and prevent disputes among remaining owners and heirs.
How is it funded?
Through life insurance policies on each owner, with the business or co-owners as beneficiaries.
Is it legally enforceable in Botswana?
Yes, when properly drafted and executed, it is enforceable under Botswana law.
How is your agreements sum assured determined?
First Sun will need to do a needs analysis for you. Click get a qoute for further info.
FIRST SUN ALLIANCE
FSA was incorporated in 1999 in Botswana as an Insurance Broking company under the provision of the Botswana Insurance Act.