Offering Expert Advice on Protecting Your Most Valuable Employees with Key Worker Insurance

Most companies tend to have one or several key staff members of vital importance to their success and profitability. A key person could, for instance, be the company’s owner, a director or an employee with specific specialist or technical skills. Essentially, any individual known to make major contributions to a company’s success, smooth running and profitability is a key person.

Key Worker Insurance

Suddenly losing a key worker’s knowledge, leadership, skills and/or experience due to a critical illness diagnosis/death could have a serious impact on a business. Consequences may, for instance, include loss of profits, productivity and/or important business contacts, as well as goodwill. Then, of course, there is the cost of having to find and adequately train suitable replacements.

What’s more, the critical illness/death of such a key worker could mean the company must immediately repay any outstanding business loans, commercial mortgages, etc. that may be secured on this individual (typically owners, shareholders or directors). This could, of course, result in significant financial problems for the company.

Often referred to as key person or keyman insurance, key worker insurance protects your company against the financial repercussions of the unforeseen loss of valuable personnel due to death/critical illness by making a pre-agreed lump sum payment upon a critical illness diagnosis/the death of the insured key person. The company can then use this lump sum to recruit/train replacement staff, minimise the financial effects of any loss of productivity, contracts, etc. and/or pay off relevant outstanding business liabilities.

Expert Advice

With over 20 years’ experience in assisting companies of all sizes and from all industries in protecting their most valuable personnel through key worker insurance, we can put suitable contingency plan/s in place to protect your business. To learn more and/or arrange for your no-obligation, free review, contact our team of experts online, via e-mail: info@spectrumfa.co.uk or by calling us on Tel.: 01279 315 013 today.