Business Protection Insurance
What you need to know
Let’s start with understanding some of the basic terms and considerations so you can make an informed decision.
Business protection is an insurance policy which is designed to pay a cash lump sum to a company should the person insured die or contract a critical illness.
A claim may be paid to a business, not a family member or business partner.
Many believe arranging business protection to be a lengthy and complicated process.
The principles and processes are similar to other types of protection.
If a partner or shareholder dies or is diagnosed with a critical illness, the proceeds help the remaining owners buy the affected individual’s share of the business. Without protection, the surviving owners could lose control of the business, impacting on-going success.
What is Business Protection Insurance?
Business protection is an insurance policy which is designed to pay a cash lump sum to a company should the person insured die or contract a critical illness.
Many believe arranging business protection to be a lengthy and complicated process.
The principles and processes are similar to other types of protection.
A claim may be paid to a business, not a family member or business partner.
Business owners already protect many of the important things that keep the business running smoothly, like property, fleets and stock. You should also insure your most valuable assets: staff and shareholders.
If a partner or shareholder dies or is diagnosed with a critical illness, the proceeds help the remaining owners buy the affected individual’s share of the business. Without protection, the surviving owners could lose control of the business, impacting on-going success.
If a business loses a key person who influences revenue, the policy gives the company a cash injection, helping replace lost profits and possibly recruit a replacement.
It's worth having a chat!
We know it gets confusing!
That is exactly why we’re here to explain your options and how to make it work for you!
....so, in a nutshell...
Business protection keeps the wheels turning
An individual’s presence within a business can have a hugely positive effect, so in times when they are pulled away from the business, business protection insurance helps to fill in that gap whilst everyone finds their feet and establishes new processes and ways to move forwards.
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Cash injection to the business
The business is the entity which receives the payout, as a support structure during a pivot in management or staff.
Whether that pivot is due to the absence of someone caused by illness or bereavement, business protection insurance minimises the financial impact of the absence.
Your payout depends on who you choose
If a partner or shareholder dies or is diagnosed with a critical illness, the proceeds help the remaining owners buy the affected individual’s share of the business.
Without protection, the surviving owners could lose control of the business, impacting on-going success.
Clear debt within the business
If the business loses a key person, the money paid by the policy can be used to clear loans or other debt.
Without a cash injection, investors and creditors (like the bank) may call in debts as they’re no longer confident the business can keep on top of them.
Our role is to help you make an informed decision
There are many aspects to all types of insurance and we understand that you need to make the best decision.
You will undoubtedly have many more questions, so please feel comfortable enough to arrange a free, no-obligation chat!
Frequently Asked Questions
Here are a few of the questions we regularly answer for those who are wondering if this is the correct choice.
Just remember, we’re ready to chat and answer many more!
Here are a few of the questions we regularly answer for those who are wondering if this is the correct choice.
There are many providers of business protection. Most of the major insurers do but they will only flog you their own policies and do not search the whole market for you. Finding the best and most suitable one for you is a minefield because you need the right cover, for the right term and you need to set the policy up correctly and write the policy in trust.
There are many forms of business protection such as Shareholder protection, Partnership protection, Business life insurance, Business loan insurance, Key person insurance, and Relevant Life cover.
Yes, many options. Give us a call and we'll explain each of them in turn!
Business protection is an insurance policy which is designed to pay a cash lump sum to a company should the person insured die or contract a critical illness. The person in the business may be a key person such as a director or partner.
Business protection is an insurance policy which is designed to pay a cash lump sum to a company should the person insured die or contract a critical illness. The person in the business may be a key person such as a director or partner.
There are many providers of business protection. Most of the major insurers do but they will only flog you their own policies and do not search the whole market for you. Finding the best and most suitable one for you is a minefield because you need the right cover, for the right term and you need to set the policy up correctly and write the policy in trust.
There are many forms of business protection such as Shareholder protection, Partnership protection, Business life insurance, Business loan insurance, Key person insurance, and Relevant Life cover.
Yes, many options. Give us a call and we’ll explain each of them in turn!
Not a problem!
Let’s put the kettle on and have a chat. We’ll have you up to speed in no time!
