The purpose of a Keyman insurance is to avoid liquidity bottlenecks or even economic distress for the company in the event of the unexpected death or serious illness of the key employee. The resources of the key man (knowhow, inventiveness) can form majority of the company’s value, which makes the need for protection obvious. For this reason, this insurance defines the benefit content of a key employee insurance. Keyman insurance therefore protects the company itself, not the key person. The funds provided in the event of the death or illness of the key employee are used to find adequate replacements (to the extent possible).