Wealth Insurance Services

Community Trust Wealth Insurance Services, a business unit of Community Trust and Investment Company, is headquartered in Lexington, KY. Our Wealth Insurance Services were added to CTIC's organization in 2015.

To protect your wealth, your family, your business, and your legacy, it's critical to have adequate insurance coverage. It is our goal to offer excellent customer service and a full range of quality products. Learn more about WTM's Wealth Insurance products below:

Wealth Insurance Products

Through our relationship with various broker agencies and insurance companies, we will guide our clients through the difficult task of planning for the inevitable. By having relationships with more than 50 major insurance companies and access to hundreds of products, we are able to give unbiased advice and provide our clients the products and services they need. Estate planning strategies help ensure that your estate will be distributed the way you choose. These strategies are especially important when most of the assets are tied up in illiquid business equity.

Estate Liquidity

When a person dies, certain taxes and other debts may be required to be paid within a short period of time. The taxes and costs lower the amount transferred to heirs and life insurance may be used to provide the estate with sufficient tax-favored cash to satisfy the claims of creditors. It may also be used to pay the taxes and other costs resulting from death. For individuals whose estates will be subject to the federal estate tax, life insurance can also be arranged so that it is not included in the gross estate.

Legacy Building

This is a concept that uses life insurance to pass along money to your beneficiaries in a way that is most favorable for them and for you. Oftentimes, we can use insurance companies to parlay money on a tax favored basis at one's death to your intended heirs or charities. A will and/or trust can assign assets to beneficiaries; however, these estate-planning tools are not designed to create wealth so much as they are to preserve it. In contrast, life insurance products can create more immediate wealth and can increase the amount passed on to a recipient.

Estate Equalization

Clients whose primary asset is the family business often want all of their children to inherit equal shares of their estates. The situation becomes more complicated when some of the children are directly involved in the business and others are not. A solution may be to create inheritance equalization using life insurance. A business owner can use life insurance to provide those children who are not involved in the business with equitable treatment. Leaving the business to the active children and life insurance (sometimes owned by an irrevocable trust) to the inactive children, allows the decedent to equalize the inheritance among all of them.

Business Succession Planning

A key part of estate planning for business owners who want to keep their business in the family is deciding when and to whom to transfer the business. The particular tools and techniques used in a business succession plan will vary based on the goals and objectives of the four groups affected by the plan: the senior generation business owner, the junior generation family members involved in the business, key non-family employees, and family members not involved in the business.

Our wealth insurance team can help you build a business succession plan to meet your specific goals and objectives.

Let us help you build your business succession plan. Contact us today.

Funding of Buy-Sell Agreements

A properly designed buy-sell agreement can guarantee a market and fair price for a deceased, disabled or withdrawing owner's business interest; ensure control over the business by the surviving or remaining owners; and establish the value of the business interest for estate tax purposes. Life insurance is one of the most common ways to provide the cash necessary for the business or the surviving owners to purchase a deceased owner's interest.

Key Person Insurance

Many businesses depend on non-family employees for the company's continued success. To guard against financial loss due to the absence of a key employee, many companies take out key person life insurance.

Non-qualified Deferred Compensation Plans

A non-qualified deferred compensation (NQDC) plan can be used by a business to provide members of the senior generation with death, disability, and retirement benefits. A NQDC plan may be particularly useful in situations where the senior members have transitioned the business to the junior members and are no longer receiving compensation. A NQDC plan also ensures that key employees remain with the business during the transition period - a so called "golden handcuff". Due to life insurance offering tax-deferred cash value growth and tax-free death benefits, it is the most popular vehicle for informally funding NQDC plan liabilities.


For additional information please contact Abby Blair, Wealth Insurance Coordinator, at 1.800.724.7974.