Introducing the Kai-Zen Executive Benefit Plan

How Does Kai-Zen Work?


The Kai-Zen Executive Benefit Plan is partially funded by the employer/executive and partially funded by bank financing. The financing provides approximately 60-75% of the total contribution to the plan thus reducing your cost while increasing benefits over what your contribution alone could achieve.

Each insured (the executive/partner, etc) has a segregated trust containing a Kai-Zen policy. The employer or the executive makes a contribution to the trust. A Master Trust bundles multiple individual trusts to obtain critical mass thereby getting optimal loan pricing. The contribution and the trust policy are the sole and only collateral for the Kai-Zen Plan financing. You don’t sign any loan document.

The cash growth along with future contributions (10 in total – 5 by the executive/employer) sustains the security of the loan and eventually pays off the loan in full. The result is a policy that has both a death benefit along with other sometimes, costly benefits. Once the loan is paid off, other benefits from the tax deferred growth of the cash value or policy riders include:

Or, can be used to fund Benefits for the Employer. The Kai-zen Plan can be utilized to cover both the event of death AND the person leaving for the following reasons:

  • Living Buy/Sell
  • Living Key Man
  • Living Partner Buyout

Contact us to learn more.- 1-800-338-1892

About Jeffrey Berson

40 years in and around the industry has made Insurance a part of my DNA. I have had the pleasure of working with and for some of the greatest minds in our industry. My "Bersonal" View is an attempt to capture some of the best ideas, the best concepts and the best practices in a way that can lead to success for others. It will certainly be my point of view, so please...don't take it "Bersonal".
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