Keyman Insurance
Protect your company financially against the loss or long-term illness of a key employee.
So often the success and profitability of your company will depend on one or a select few 'Key People'. Have you ever considered what would happen if one of those key people were to die or be diagnosed with a long-term illness? Probably not, but the answer would be that your company would struggle to maintain performance in their absence.
What can you use the policy for?
The payout on a Keyman Insurance policy can typically be used for the following purposes;
- Cover the cost of replacing the key person
- Training existing staff to take over the role
- Cover the reorganisation cost your company may have
- Payoff any outstanding finance or debts
- Purchase shares from a deceased shareholder's estate
Proceeds are payable to the company and do not form part of the individual’s estate.
Who can you insure?
Typically, you can insure against the loss of the following key people;
- Major Shareholder
- Directors and Senior Managers
- Key Strategists
- Valuable sales people.
Why you need advice
Keyman insurance is not an off-the-shelf insurance product. It is important that you get the right advice otherwise you may be putting your livelihood in danger. At Torquil Clark Financial Planning we will look at your business protection needs and help you identify who your key people are and how much they are worth to your business. Once we have done that, we will search the insurance market to find the policy that’s right for you and your company.
To talk to one of our specialist advisers about protecting your company with a Keyman Insurance policy, fill in the form below, or call us on 0800 072 3186.