Cover that keeps the business running.
Business protection sized to the company structure. Key person, shareholder, relevant life and group cover for limited companies and partnerships.
Key person cover, shareholder protection and group benefits keep the business running if a director is hit by illness or death. Set up correctly, they put cash where it is needed: in the company to absorb lost profit, with the surviving shareholders to buy out a stake, or with the family of the employee. The right structure depends on company form, ownership split and who carries most risk.
Happy to talk through the options directly. Book a quick 15-minute call or call 01708 629 983.
Business protection products we set up
Most companies need two or three of these. Pick the closest match and we will model the cover, the structure, and the cost.
Key person insurance
Pays the company a lump sum if a key earner dies or is critically ill. Covers lost profit and replacement.
See key person insuranceShareholder protection
Funds surviving shareholders to buy out the share of a deceased or critically ill co-owner. Keeps ownership in the right hands.
See shareholder protectionRelevant life cover
Tax-efficient personal life cover paid for by the company. Suits directors and senior staff outside a group scheme.
See relevant life coverBusiness loan protection
Clears a director's loan, overdraft or commercial borrowing if the personal guarantor dies or is critically ill.
See business loan protectionGroup life cover
Death-in-service for the workforce. A multiple of salary paid to the family if an employee dies while employed.
See group life coverGroup income protection
Replaces part of an employee's salary if illness or injury stops them working. Cuts sickness cost on the company.
See group income protectionExecutive income protection
Company-funded income protection for directors and senior staff. Helps replace a proportion of income if illness or injury prevents the executive from working.
See executive income protectionBusiness protection questions we hear a lot
When should we start thinking about business protection?
Usually when the company first depends on a single person to keep trading, when shares are split between owners, or when the team grows past the point where one absence is invisible. In practice that is often by the time turnover passes a few hundred thousand pounds, or once a second director joins. Earlier is cheaper because underwriting is easier at a younger age.
How do you work out the right key person cover amount?
Two common methods. The profit method takes recent net profit and multiplies by the years it would take to replace the person, often two to five. The salary method takes the key person's remuneration and multiplies by a similar factor. We agree the figure with you and your accountant so the sum insured can be evidenced if the policy ever has to pay out.
How is shareholder protection structured?
There are two parts. First, a cross-option agreement (sometimes called a double-option agreement) between the shareholders, giving each side the right to buy or sell the deceased shareholder's stake. Second, the policies, sized to the value of each share, written so the surviving shareholders have the cash to buy. We set up the policies and work with your accountant or solicitor on the agreement.
Relevant life cover or personal life cover for a director?
Relevant life policies can offer tax advantages for some directors and employees. Tax treatment depends on individual circumstances and current legislation, which may change. Personal life cover is simpler and portable if you change company. We model both before recommending.
When should we add group life or group income protection?
Group cover usually makes sense once the headcount passes around five to ten employees, where individual underwriting becomes administratively painful. Group life is cheap to add and is a meaningful retention benefit. Group income protection costs more but funds long-term sick pay and supports return to work.
How are these policies treated for tax?
Treatment varies by product. Key person and business loan premiums are usually a deductible business expense, with the payout taxed as a trading receipt. Relevant life premiums are deductible with no benefit-in-kind charge and the payout written into trust. Group life and group income protection are usually deductible. We walk you through the position for each policy with your accountant.
Related guides
Insurance for the self-employed
Income protection and critical illness for company directors, contractors and sole traders. Different products, different underwriting.
Read guideCritical illness vs income protection
Two of the most misunderstood products in protection, compared side by side. Applies to directors and senior staff as much as to private clients.
Read guideProtecting your mortgage and family
How personal and business protection fit together for company directors who carry both a mortgage and a stake in a business.
Read guideWhat our clients say
Real reviews from clients across Romford and Essex, verified on Google.
Rated 5.0 out of 5 from 92 Google reviews Read the reviews on Google
Talk to a real business protection adviser
Quick 15-minute call. We will talk through the company structure, the people who carry the most risk, and what the right protection looks like. We work alongside your accountant or solicitor where appropriate. No pressure, no sales script.
We aim to return your call as quickly as we can. Mon to Fri 9am to 5pm. Weekend appointments available on request.