Coverage for your employees isn't the only time you should consider life insurance for your business.

Another popular policy is key man life insurance. That's a policy taken out on top-tier employees, whether it be the owner, CEO, or all of the executives. In this type of policy, the business is the beneficiary, so if any of these people critical to the business died, the business wouldn't immediately go bust.

If you're the owner of a business, you may find that in order for a bank to lend you money, you have to take out a life insurance policy on yourself, making the bank the beneficiary. Therefore, if you die, the bank won't lose its investment.