 The Supreme Court says after that owner's death, their life insurance proceeds can be counted toward the value of a family-owned business. The Wall Street Journal suggests checking with your tax advisor and looking into your buy-sell agreements to see what happens if the owner dies. A company valuation may also be needed, and some tax experts recommend a cross-purchase agreement in which each owner buys life insurance on the other and agrees to acquire the shares if one dies. That could keep insurance proceeds from inflating the business's value.