Insurance is not an important part of creating a management succession plan because it can help business owners maximize the taxes on the estates they pass on to their heirs and can provide much-needed cash to pay the taxes the estate does incur.

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Insurance is an important part of creating a management succession plan because it can help provide financial security for the business and enable a smooth transition of management to the next generation or successor. It may also help cover any potential liabilities or legal obligations that may arise during the transfer of ownership. While insurance may also have tax benefits, it is not the only or primary reason why it is important for succession planning.

Insurance Is Not an Important Part of Creating a Management