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Split-Dollar insurance is a life insurance policy ownership arrangement that benefits executives by potentially providing future income, along with a death benefit. It consists of three main components: premiums, cash surrender value, and death benefit. In this arrangement, these components are shared between the company and the executive. The executive owns the policy, offering creditor protection unlike other nonqualified benefits. The company typically pays the premiums, while the executive may face tax implications or loan interest on payments. The cash surrender value is assigned to the company up to the total premiums paid, and interest from this cash value can be utilized for the executive's retirement income.