Life Insurance For Investors

[Jeff Johnton]

I have a life insurance question for the community. I'm looking to purchase an apartment building with a few investors. There would be a minimum amount of time I'd want everyone to keep this investment so I wanted to have life insurance as a way to help protect everyone's investment. I would prefer not forcing everyone to go out a buy their own policy to cover their portion but rather have one group policy available for everyone where a payout would go to their beneficiaries in the event of a death. 

Is this something any of you have done before? Would this be considered a group life policy? Any information would be extremely helpful.

[Thomas Rutkowski]

Each partner should buy insurance on the lives of the other partners. There should also be a formal buy/sell agreement to back it up. Group insurance doesn't work like that. The company can also purchase insurance on the lives of each partner with the intent to buy out a partners share if they die.