Banks

Smart financing alternatives.

BOLI, or bank-owned life insurance, is just what it sounds like: a life insurance policy you can buy to insure the lives of your key employees. This tax-advantaged asset acts similarly to a bond, allowing banks to offset the expenses needed for superior benefits and/or informally fund executive benefits. As the policy's owner and beneficiary, your bank harnesses unique benefits, including the ability to: Insure the economic loss of a key employee’s premature death Offset the ever-increasing costs of employee health and welfare ERISA plans Provide cost recovery for pre- and post-retirement executive compensation and benefit plans Have an asset with a value highly correlated to the changing value of a liability obligation, i.e., a "hedge" These benefits are a direct result of the fact that BOLI offers: An asset value that accumulates on a tax-deferred basis, treating the change in value as "other non-interest income" Income-tax-free death proceeds for recovering the present and long-term costs of employee benefits and compensation plans A more efficient method of financing employee benefit and compensation plans than alternatives Our unique BOLI service model will help you understand every aspect of the transaction and plan design. We'll also help you implement, monitor and maintain those assets in line with the most current regulatory and compliance requirements.Our BOLI Administration SolutionAt NFP, we’ve built a simple, sophisticated and streamlined BOLI system — all with the way you work in mind.We call it NFP Connect, and it makes managing your BOLI program easier than ever.Take as much – or as little – control of your bank-owned life insurance administration as you need, with our proprietary, all-in-one tool that delivers: Monthly, quarterly and annual reporting BOLI compliance reporting Insurance carrier financial and rating information Retirement and split-dollar benefit accounting Participants statements Tax reporting Weekly social security sweeps Secure online access As always, we’re completely upfront about how we can help you, every step of the way. There are no hidden costs, and if you ever have questions, just call up your account executive for help figuring out the answer.

Supporting your leaders.

Serving on a company’s board or in a management or executive position carries a whole host of responsibilities and duties to various stakeholders. There is a duty to shareholders, employees, customers, clients, vendors, competitors, regulators and creditors — to name a few. Unfortunately, things don’t always go smoothly, and if a director or officer fails to carry out duties, claims can and do result. In order to protect your company and individual directors and officers in the event of a claim, it is vital that your company is ready to respond.Our team works collaboratively with you and your organization to identify your specific needs and craft a bespoke solution to your risk profile and corporate objectives. One solution is the placement of a robust directors and officers (D&O) liability policy. This is critical aspect of an overall risk management strategy to safeguard the individual directors and officers assets and the company’s balance sheet.Any organization, director or officer may be presented with allegations of matters such as: Bankruptcy Dishonesty/fraud False representation Merger and acquisition disputes Poor financial performance Securities class actions/shareholder filingsOur experts utilize their market relationships and knowledge to present you with the best solution to protect your directors and officers, and your entire organization. Contact us to discuss how we can partner with your company and help to secure it for years to come.

Reward your key people with uncompromising excellence.

Executive benefits are a powerful tool for enticing and rewarding the top people in your organization. These specialized benefits set up your workforce for success with the tools, mechanisms and pathways to attract key employees who will drive your business forward. These benefits create another type of compensation, and help your experienced elites retire when and how they want to, giving your workforce the room it needs to grow.These types of benefits are important because rules on the books restrict how much can be saved in tax-deferred plans, even with those top-tier benefits. That means those key-decision makers won’t be saving the 70% to 80% of their final income they need to maintain the lifestyle they enjoy in retirement. Reduced retirement savings can mean delayed retirements, and that hurts business as much as it hurts your employees. Even just a three-year increase in average retirement age can mean a 3% annual increase in total workforce cost, or more.With the right executive benefits, you can help your high earners bridge the retirement income gap affecting highly compensated employees so they can happily move into retirement and welcome in the next generation of top talent.When executives and key employees depart unexpectedly, replacement becomes the next hurdle. Replacing an executive can carry a hefty bill. From screening and interviewing to morale and institutional knowledge, the direct and indirect cost of replacing a key executive can reach 400% or more of their annual salary. Fortunately, you have options for a smooth transition without incurring excessive costs. An executive benefits plan can also help you implement incentives and special features designed to increase company loyalty in leaders who drive your business. How do you make sure that your most valuable assets – your top executives – feel rewarded, valued and motivated to continue making your company great? Create an executive benefits program that helps give them long-term financial stability.Our Executive Benefits team has one main focus: to build the best executive benefits package for your company and its key people.