Keyman Insurance from a business that was bankrupt years ago

[Lloyds of Lubbock]

You do not need a physical policy, to collect a death claim.
A statement will:
1 verify the policy is in force.
2. State the owner
3. State the beneficiary.
From what you said (I think) this is as far as you want to go.
Digging up the documentation of how the policy was transferred may take some work.
Good luck

 

[Allen Trent]

from your explanation, this doesnt sound like a "key man" concept. If it is a key man design, the business would have been buying the policy & naming themselves as the owner & beneficiary to protect themselves if their keyman died, causing the business to suffer from the loss of an expert person that had special skills or knowledge to replace, etc.

What you are likely hoping the design was is a Section 162 executive bonus type plan or something similar where the business created it as a retention tool for the employee to either own or eventually own the policy & have the employee name the beneficiaries.

If by chance this policy is still active without premiums being paid or statements being mailed, it would likely be in the form of the 162 bonus plan, not the keyman type. Keyman type would have likely ended either from a failing business not paying premiums, failing business cashing it out for the money or losing it in the bankruptcy. Only likely way it might have survived these 3 scenarios as keyman is if the business somehow proactively changed the ownership to the employee prior to the businesses financial troubles. But had that happened, your father would have likely been receiving the annual statements & being billed as the owner.

Good luck & I hope it works out for you guys

 

[Lloyds of Lubbock]

It is possible it was a key man policy.
When the business was failing they could have sold it to the employee.
There are many things that could have happened.
There is no where near enough info provided to make a determination.
I would be surprised if this policy is inforce.
He really should start with any documentation the inlaws have.
Whether the policy was key man, a bonus plan or a split dollar plan is immaterial.
If it is not inforce, nothing else matters either.