Business Protection

A key person is any member of staff who has a direct impact on the business’ profits, such as the business owner, director, salesperson or any employee with specialist skills, knowledge or expertise.

Key person cover helps protect the business if an important employee dies or is diagnosed with a critical illness (if this option has been chosen). The money from the policy is paid directly to the company helping them to protect their profits or to continue trading as normally as possible.

Either a life assurance policy or life insurance policy with critical illness cover included. A policy is taken out on the life of the key individual or individuals, so that any money due from a claim can be used to help towards paying any outstanding debt or loan.

Shareholder and partnership protection can help business owners keep control of their company if one of them dies or is diagnosed with a critical illness and ensures the deceased’s family are fairly treated.

This cover would sit alongside a shareholder or partnership agreement to ensure the right cover and the right documentation is in place should the worst happen.

Relevant life and critical illness cover allows employers to offer a death in-service benefit to their employees. It is a tax-efficient life insurance policy, set up by the employer and pays out a tax-free lump sum on the death (or diagnosis of specified critical illnesses) of the person insured. The proceeds go to the employee’s family or financial dependants.

This cover might benefit high earning employees who might exceed their personal pension lifetime allowance, and/or smaller companies not wishing to set up a larger group scheme.