Glossary Term

BOLI

Bank-Owned Life Insurance

BOLI is life insurance purchased by a bank on the lives of its employees, with the bank as both owner and beneficiary, used to offset employee benefit costs and grow tax-advantaged assets on the bank's balance sheet.

In Plain English

Banks hold billions of dollars in life insurance as an asset on their own balance sheets — it's one of the largest, quietest uses of cash value life insurance in the country.

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Why banks hold $205B+ in cash value life insurance.

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