top of page

SERVICES

We offer custom plan design, implementation, and support from beginning to end. You can trust our experts to guide you throughout the process.

Bank-Owned Life Insurance (BOLI)

Program Design & Implementation Framework

At BCC, we design tailored BOLI programs that align with your bank's financial goals and strategic vision. Our 5-step framework ensures a seamless process, from assessing your needs to delivering a customized, high-value solution - all with transparency and expertise.

Comprehensive Bank Analysis & Goal Alignment

Insurance Needs Quantification

Market Carrier Selection & Due Diligence

Education & Communication

Program Implementation & Value Optimization

Comprehensive Bank Analysis & Goal Alignment

​​Review Financial Statements: Conduct a detailed analysis of the bank’s balance sheet, income statement, and regulatory capital requirements to understand its current financial standing and long-term growth goals.

​

Strategic Objective Assessment: Collaborate with the bank’s leadership to identify key objectives, such as improving earnings, retaining key employees, or mitigating tax liabilities.

​

Regulatory Considerations: Ensure compliance with all regulatory guidelines and industry best practices, including guidance from OCC Bulletin 2004-56, FIL-124-2004, and SR04-19.

Insurance Needs Quantification

Workforce Analysis: Evaluate the number of participants, their roles, ages, and compensation levels to determine the bank's insurance needs.

 

Funding Targets: Establish target benefit levels for executives (if part of a deferred compensation plan) and corresponding life insurance coverage amounts.

 

Financial Modeling: Develop financial projections to quantify the expected net benefits of the BOLI program, such as death benefits, cash value accumulation, and overall ROI.

Market Carrier Selection & Due Diligence

Carrier Research: Access every BOLI-market carrier to evaluate its financial strength, product options, and historical performance.

 

Customization: Match carriers and product types (general account, hybrid account, or separate account) to the bank's specific risk tolerance and goals.

 

Due Diligence Review: Perform a thorough review of carrier ratings, financial stability, and claims-paying ability to ensure the long-term viability of the program.

Education & Communication

Leadership Education: Provide tailored sessions to educate the bank's board, executives, and stakeholders about BOLI, including product structures, tax implications, and expected benefits.

 

Transparent Reporting: Create clear and detailed reports, including cost-benefit analyses, cash flow projections, and ROI expectations, to ensure informed decision-making.

 

Regulatory & Accounting Guidance: Ensure compliance with regulatory requirements and provide detailed guidance on proper accounting treatment to integrate the program seamlessly into the bank's financial reporting.

Program Implementation & Value Optimization

Plan Execution: Implement the BOLI program seamlessly, including application submissions, underwriting, and policy issuance.

 

Deferred Compensation Integration: Design non-qualified deferred compensation plans that enhance the value of the life insurance program, ensuring retention and incentivization of key executives.

 

Ongoing Risk Management: To ensure the program continues to meet the bank's strategic goals, offer continuous monitoring, compliance updates, and annual performance reviews.

 

BCC doesn't just implement BOLI products; we serve as a trusted advisor throughout the process. By leveraging deep financial expertise and proprietary strategies, you ensure every solution is:

  • Tailored to the bank's unique situation.

  • Transparent in design and execution.

  • Scalable for future needs.

​

This framework reinforces our commitment to superior client service through education, strategy, and technology.

Ongoing Administrative Service

BCC will continue to provide the bank with the required annual compliance documents, tax information, and accounting reports. 

Monthly, quarterly, and/or annual reports detailing policy cash surrender value (“CSV”) and death benefit (“DB”).

Preparation of IRS Form 8925 information.

Monitoring and reporting for regulatory compliance and additional insurance information as requested.

Updates of insurance carrier ratings from Standard & Poor’s Corporation, Fitch Research, Moody’s Investors Services and A.M. Best Company. In the event of a material change in ratings or condition, Iron Key will notify the client as soon as possible

Preparation of annual participant statements and payroll reporting for applicable benefit plans.

Preparation of an annual BOLI Board Reporting package.

Continuous sweeps of over 26,000 sources of death information including the Social Security Administration's Death Master File and obituary announcements from both funeral homes and newspapers to assist with the death claims for insured employees.

Annual cash value confirmations for insurance carriers for the client’s auditors, as requested.

Preparation of suggested journal entries for benefit plan expenses.

Client Portal

Our client portal is designed to provide a seamless experience for all users. This free platform ensures that your information is secure and accessible whenever you need it. 

  • 24/7 availability

  • Easy access to your reports and important documents

  • Upload documents for BCC safely and securely

  • Communicate with our team

Enjoy peace of mind knowing that your data is protected while you stay connected with us.

bottom of page