Bank-Owned Life Insurance

What is BOLI?

Bank-owned life insurance is a form of life insurance where the bank is the purchaser, beneficiary and owner. This type of life insurance is a tax-efficient method for the administering bank to offset employee benefit costs, as well as a tax-advantaged funding vehicle, usually funded with a single premium deposit with highly rated insurance carriers.


Since its inception in the 1980s, BOLI has become an accepted and widely used financial vehicle through which banks all over the country—from the largest money center institutions to community banks—offset the rising costs of employee benefits programs. In addition, BOLI is an effective strategic financing tool and offers favorable yields through cash value accumulation and tax-advantaged insurance proceeds. A properly structured BOLI program can be financially efficient, fit within the scope of safe and sound banking practices, and be superior to available funding alternatives.

An Industry Leader in Bank-Owned Life Insurance

Many of the nation’s largest owners of BOLI utilize Newport Group’s end-to-end platform to optimize their BOLI program. Newport Group’s BOLI team of 60+ professionals administers $50+ billion of BOLI cash value and in excess of 200,000 policies underwritten by the nation's leading life insurance companies.

Key Differentiators

Building personal, loyal relationships with independent advisors and their clients is Newport Group’s main focus. In addition Newport Group provides a complete outsourcing solution for advisors and clients to allow both of them to focus on their primary businesses. From the initial purchase of BOLI through the ultimate maturity of the asset, Newport Group and its advisors collaborate closely with clients to help assure that their BOLI program is being managed to meet each bank’s needs.

End-to-End Comprehensive BOLI Platform

Newport Group provides clients with a full range of services to help them optimize their BOLI program. Advisors and clients can rely on Newport Group’s BOLI team to provide expertise throughout the entire BOLI lifecycle. This lifecycle includes product selection, pre-purchase due diligence, implementation, monthly reporting, regulatory compliance and death claim sweeps and processing. 

Newport Group’s full suite of BOLI services also includes:

  • Expert insurance carrier and product analysis in all BOLI product types including general accounts, hybrid and separate accounts.
  • Insurance company credit analysis
  • Separate account investment analytics
  • CCAR/DFAST stress testing
  • Mortality adjusted program projections

Insurance products are offered to institutional clients through non-affiliated insurance companies. Securities are offered through Newport Group Securities, Inc., 300 Primera Boulevard, Suite 200, Lake Mary, FL  32746. Member, FINRA.

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Newport Group, Inc. and its affiliates provide recordkeeping, plan administration, trust and custody, consulting, fiduciary consulting, insurance and brokerage services. Fiduciary consulting services are provided through Newport Group Securities, Inc., an SEC-registered investment adviser and FINRA-registered broker-dealer, and InterServ, LLC, an SEC-registered investment adviser. Newport Group Securities, Inc. and InterServ, LLC are affiliates of Newport Group, Inc. All securities transactions are provided through Newport Group Securities, Inc., in its role as broker-dealer. All fiduciary consulting services are provided through the registered investment adviser. when offering variable insurance products, Newport Group Securities, Inc. acts solely in its capacity as a broker-dealer.
Trust and custody services provided by Newport Trust Company, a New Hampshire state chartered trust company and wholly owned subsidiary of Newport Group, Inc.