How Corporate Insurance Can Benefit your Business – Arora Professional Corporation, Chartered Professional Accountant and Rajesh Arora, CPA, CGA

You own your own business and you have incorporated. A smart decision, since corporate structures have significant benefits such as:

Limited liability
Continuity of the business
Easier access to capital
Lower income tax rates with the small business tax deduction
Potential tax deferral

Now that your business is incorporated, have you considered corporate-owned insurance? Not to be confused with insurance purchased for your business operations (also a must), corporate-owned insurance is a life insurance policy purchased by a corporation on the life of a shareholder to protect the business on the death of the shareholder.