| Bank
Owned Life Insurance
Bank owned life insurance, or BOLI, is a single premium life
insurance contract specially designed for banks to help them earn
tax-free income. For a complete insight into bank owned life
insurance, you can count on Insuredquotes.com. At a time when a new
federal legislation is being enacted to make bank owned life
insurance a little more difficult to implement, bank owned life
insurance deserves a close look. For banks interested in taking
advantage of tax benefits, we offer a riveting insight into various
facets of bank owned life insurance.
Bank owned life insurance (BOLI) has become a key tool for
offsetting the increasing costs of employee benefits. We are well
acquainted with various nuances of BOLI and can provide you with a
number of proprietary products designed to meet the specific needs
of your bank. Our skilled bank owned life insurance consultants
could help you evaluate all options and create a portfolio that best
suits your bank's investment philosophy. In addition, we can assist
you with the necessary regulatory compliance documentation.
Bank owned life insurance offers a number of benefits such as
providing a cost-effective financing tool for the bank's employee
benefit programs, helping in balancing liquidity and risk factors,
insuring the life of a borrower in an amount equal to the bank's
exposure to loss, offering a hedge against any interest rate
volatility etc. Usually, a bank purchases a life insurance policy on
a group of its directors and officers. Over a period of time, the
bank uses the cash value and proceeds from the policy to recover its
employee benefit expenses. Though bank owned life insurance enjoys
certain tax benefits, there are certain risks as well. Contact us
today should you have any questions on BOLI or for the best deals on
it. |
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