how much insurance a company needs will depend on the size and nature of the business and the key person s role it s worth asking for quotes on 100 000 250 000 500 000 750 000 and 1 million policies and comparing the costs of each 
the cost will also depend on whether the company buys a term life policy or a permanent life policy term life is almost always significantly cheaper in addition the cost of the coverage will vary on a variety of factors such as the health of the key person their gender their age the type of policy the amount of coverage the type of company its structure and the industry it is part of 