Require COLI policies be terminated with the termination of the employee

COLI or Corporate-owned life insurance policies were originally created to help a company who has lost a KEY employee whom is difficult and costly to replace. However, it has been seen that compnaies are taking advantage of these COLI policies even after an employee has been terminated. Daniel Johnson was diagnosed with terminal brain cancer in 2001, to which his employer responded by taking out a COLI policy, After undergoing 2 brain surgeries and receiving radiation therapy, Daniel Johnson was then demoted and soon after fired. The company Daniel Johnson worked for was still able to collect $1.6 million from the COLI policy, even though Mr. Johnson was no longer an employee, let alone a 'key' employee.