Business Protection Insurance

Tailored business protection insurance solutions mean that your company can continue to run smoothly in the event of losing a business-critical member. Offered through our sister company Towergate Health & Protection.

About Business Protection Insurance

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Future-proof your business

Safeguard the future of your business against losing a vital employee

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Tailored business protection cover

Get cover that is relevant to your business needs

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Reliable pay outs

Business protection insurance that pays out when you need it to

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Pay by Direct Debit

Split your business protection insurance payments into monthly instalments

Features of Business Protection Insurance

Standard cover

Relevant Life Cover

A tax-efficient alternative to a 'death in service' policy that allows you to pay your key employee’s family a cash lump sum if they die while employed by your company.

Key employee cover

Key person cover is designed to help protect your business in the event of the death or severe illness of one or more key employees. If a key employee dies or becomes seriously ill, the business protection insurance policy pays out a lump sum to make up for any loss in your revenue or profits, helping to keep your business on track.

Shareholder or partnership cover

Provides your business with a cash lump sum if one of the owners dies or suffers a severe illness. This minimises disruption by providing capital that would allow the remaining owners to buy the shareholder or partner’s shares and keep control of the company.

Business loan protection

Your business protection insurance policy provides a lump sum to cover your business loans and other credit facilities if a business owner dies or becomes seriously ill. In the event that you lose a business partner, you may want or need to repay outstanding business loans, some of which may have personal guarantees or have to be repaid when someone dies.

Business Protection Insurance's FAQs

Question

Why do businesses need protection insurance?

Answer

All businesses face a raft of challenges, whether it’s new competitors entering the market, the bank manager not providing sufficient credit, or new government regulations to contend with. When it comes to SMEs, most will recognise that people are not only their biggest asset, but also the biggest area of risk for a firm. It is therefore crucial that firms identify these risks and take steps to either remove or reduce them by taking out a business protection insurance policy.

Question

What are the tax implications to the employer and employee?

Answer

The tax treatment depends on the kind of policy being offered, with most employee benefits being taxable as a benefit in kind. Some policies can also provide tax efficient means of covering the lives of key staff. Contact us today and speak to one of our employee benefits consultants to find out more.

Question

When should an employer consider effecting a relevant life policy?

Answer

An employer should consider a relevant life policy (RLP) if they wish to provide tax-efficient benefits on the death in service of one or more employees, but do not wish to set up a group arrangement. An employer can also receive tax relief on premium payments under an RLP *

* based on our understanding of the current law and HM Revenue and Customs practice

Question

How do you help businesses identify the need for key person cover?

Answer

Our business protection insurance advisers can help you to identify and understand the risk posed by the loss of a key employee within your business. To help with this, you could consider the impact of certain employees on the profitability of the business. What effect would their absence have on creditors, customers and clients, as well as competitors?

Question

Is my business at risk?

Answer

Given the greater awareness of retention and liability/fraud risks, firms are generally quite good at reducing the impact of and managing risks. SMEs make up approximately 99% of the businesses in the UK. These businesses tend to be reliant on a few key people that really help drive the business and so the temporary or permanent absence of a valuable member of staff can have a significant impact on the continuity of your business.

How do I make a claim?

When you need to make a claim, we’ll guide you through the process and get your claim settled as quickly as possible.

1.

Find your insurance documents

and make sure you have all your information at hand, including your policy number

2.

Give your insurer a call

on the claims number in your policy document and explain exactly what happened

Relaxed Person Making Claim