Key Man Insurance UK
Key Man Insurance (Key Person Protection Insurance) is a Life Insurance policy taken out by a business on their most important employees. By insuring your ‘key’ employees your business can ensure it will continue to trade in event of their loss due to death or critical illness. The business will receive a lump sum cash payment, at a time when it may need it most, which can then be used to help protect the profits.
Every business has at least one or two key staff members who are vital to the company’s successful running and make a major contribution to the success and profits of the business. This could, for example, be a Business Owner, Director, Manager, or another employee with specialist skills who are important to the day to day running of your business.
If that key person were to die or be diagnosed with a critical illness, it is highly likely that your business would be severely affected in a number of ways. Suddenly losing the skills, knowledge, leadership or experience contributed by that person could result in an immediate loss of productivity and profits for the business. In addition, the costs incurred whilst having to recruit and train a replacement could be significant.
Key Man Insurance protects businesses from the negative effects of losing such valuable staff members. This could enable a company to continue trading smoothly and effectively in the event of a key person’s death or a critical illness diagnosis.
To find out more about Key Man Insurance and how Spectrum Financial Advice can help, continue reading and also have a look at our frequently asked questions (FAQs) towards the end of the page.
Contact us today for a fee-free, no obligation review to find out how easy it could be to protect and secure your business.
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