Buy/sell insurance is a mechanism that provides funds for remaining partners to purchase a business share from a departing co-owner, in the event of death, permanent disability or trauma.

It means the remaining owners can quickly and efficiently acquire the departing owner’s share and continue running the business with minimal disruption.

Buy/sell insurance benefits both the remaining owners and the departing owner.  For the remaining owners, it provides funds to transfer the business share to them, ensuring that the business is not placed at risk.  For the departing owner, or their estate, buy/sell insurance means that they receive funds to compensate them for transferring their business share – just as though they’ve ‘sold’ their share in the business.

Is buy-sell insurance tax deductible?

There are several tax considerations that should be made when funding a buy-sell agreement with life insurance.  The premiums used to fund a buy-sell agreement are not tax deductible.  The payment of premiums made by a business, where the shareholder or the owner is the insured, are not considered taxable income.

Who is the beneficiary of a buy-sell insurance policy?

The family of the deceased will receive the financial benefit however the benefit for the business is that they do not experience any financial loss.

Can the Buy Sell policy extend to serious illness and/or injury in addition to life?

Yes, the policy can include a benefit for the permanent disablement or serious medical trauma for a partner/director/owner.

Staff Profile

Please contact the following Account Managers directly for a referral to Planned Life for this product:

Carina Bogaard 

Account Manager NSW/ACT 

Genevieve Reed

Account Manager - VIC


Cos Cirocco

National Business Manager - State Manager SA

Kylie McGrath

State Manager
WA Branch

Karen Meiklejohn

State Manager – QLD/NT

Planned Life product support and expertise provided by:

Daniel Orrell

Business Development, Partner - Planned Life Cover

Darren Conway

Principal/Director - Planned Life Cover