Dead Peasant Insurance
by Mike Meyers
"Dead Peasant" insurance is, in all, an insurance policy purchased by the company on its employees as a method of tax deduction. In this case, once an employee dies, the company
who owns the insurance becomes the beneficiary, gaining large sums of money, tax free
. This was recently placed upon the forefront of the media by Michael Moore's film: "Capitalism: A Love Story." Despite the film's obvious bias, his sources were also independently found by Wall Street Journal
in February earlier this year.
The issue at hand is: are dead peasant insurance policies adopted by approximately 1/4 of the Fortune 500 companies ethical?