Business protection
We can offer tax-efficient solutions that help you protect your business against financial impact of the unexpected loss of a key individual, such as a shareholder or a key employee.
This ensures that your people, customers and creditors continue to have confidence in your business.
Our services
Key person protection
Have you considered the impact on your business if a critical team member were no longer there?
The loss of a key employee - whether due to death or a critical illness - can disrupt operations, have a huge impact on finances and shake stakeholder confidence. The effects can ripple through your entire organisation.
Key person protection can provide a financial lifeline during these challenging times, ensuring the business has the resources to continue trading. By offering a cash payout, it can help to offset lost profits, repay business loans and cover the costs of recruiting and training a suitable replacement.
Business life insurance
In the event of the death of a key employee, partner or director, business life insurance can safeguard your organisation by providing a financial safety net.
This coverage ensures the business can cover operational costs, facilitate the buyout of shares or cover the cost involved in replacing personnel, preserving stability during a difficult time.
Shareholder or partnership protection
When a key shareholder passes away unexpectedly, their equity in the business typically transfers to their estate. Without a clear plan in place, this can result in family members becoming involved in the business or, worse, the shares being sold to an external party, such as a competitor.
Shareholder protection can ensure that surviving shareholders have the funds needed to purchase these shares, maintaining control of the business and protecting its future.
Business loan protection
Taking out a business loan is a significant commitment and unexpected events can put repayment at risk. Business loan protection is a vital safeguard, ensuring your business can meet its financial obligations if a key individual responsible for the loan passes away or is diagnosed with a critical illness.
This insurance provides a lump sum to cover outstanding loan amounts, protecting your business from the financial strain that could arise.
Executive income protection
Executive income protection provides valuable financial support for small businesses when a key employee is unable to work due to illness or injury. It helps safeguard the business by covering ongoing salary commitments during extended periods of absence.
In the event of a valid claim, the policy pays a regular monthly benefit to the employer, which can be used to continue paying the employee. This ensures the employee can maintain their financial stability without relying solely on personal savings or statutory sick pay.
Cover can be tailored to include salary, dividends and P11D benefits. For added protection, businesses can choose to extend cover (at an additional cost) to include employer pension contributions and National Insurance payments.
Relevant life cover
Relevant life cover provides a tax-efficient solution for employers looking to offer life insurance to individual employees, typically outside of a group scheme. If an employee passes away or is diagnosed with a terminal illness (with a prognosis of less than 12 months), the policy pays a tax-free lump sum to their chosen beneficiaries.
This type of cover is especially beneficial for small businesses that don’t have access to group life insurance or for those seeking to enhance existing benefits for directors or key team members.
Funded by the employer, relevant life premiums are usually considered an allowable business expense, with no impact on the employee’s income tax or National Insurance.
