Final answer:
Workers Compensation is not an example of business use for life insurance; it is a form of insurance providing benefits to employees injured on the job. Life insurance in business is used for Partnership entity plan, Key person insurance, and Buy-sell funding arrangements.
Step-by-step explanation:
All of these are examples of a business use for life insurance EXCEPT Workers Compensation. In the context of business, life insurance serves various roles:
- Partnership entity plan: This is a life insurance that ensures continuity of the business in the event of a partner's death.
- Key person insurance: Also known as key man insurance, it compensates a business for financial losses that would arise from the death or extended incapacity of an important member of the business.
- Buy-sell funding: This insurance policy helps ensure that the remaining business owners have the funds to buy the ownership interest of a deceased partner and pay the partner's estate the fair value for the interest, thus ensuring the business can continue seamlessly.
Workers Compensation, on the other hand, is not a type of life insurance but a form of insurance providing wage replacement and medical benefits to employees injured in the course of employment.