Many business owners insure their premises, vehicles, and equipment, but overlook their most valuable asset – their people.
The loss of a director, shareholder, or key employee can cause significant financial strain.
Business protection insurance provides a structured way to manage this risk. It helps ensure your organisation can continue operating, retain stability, and meet its obligations, even during difficult circumstances.
Key Person Protection
Every business has individuals whose expertise or client relationships are essential.
Key Person Protection offers financial support if one of these people dies or becomes critically ill.
The payout can offset lost profits, fund recruitment, or repay business loans.
Key Person Income Protection
Illness or injury can be just as damaging to a business as death.
Key Person Income Protection provides a monthly benefit if a key employee is unable to work due to long-term illness or disability.
This can help the business cover ongoing costs such as salaries, temporary replacements, or lost income during the recovery period.
Shareholder Protection
If a shareholder dies, their shares usually pass to their estate.
Without a plan in place, this can create uncertainty over control and ownership.
Shareholder Protection provides both the funds and legal framework for the remaining shareholders to buy back those shares, ensuring continuity and stability.
Relevant Life Cover
For directors or key employees, Relevant Life Cover offers a tax-efficient way for the business to provide life insurance.
The policy is paid for by the company, with premiums typically qualifying as a business expense, and benefits are paid tax-free to the employee’s chosen beneficiaries.
It’s an effective solution for smaller businesses that may not have access to a group life scheme.
Business Loan Protection
Many commercial loans and overdrafts are personally guaranteed by owners or directors.
Business Loan Protection repays those debts in the event of death or critical illness, protecting both the business and the guarantor’s estate.
Why review your arrangements now
In an uncertain market, protecting the long-term value of your business is essential.
Reviewing your cover ensures that succession plans are secure, shareholder interests are protected, and governance standards remain strong.
At BFS, we work with business owners to design tailored protection strategies aligned with your structure and goals. We can help identify vulnerabilities, assess the right level of cover, and implement a plan that supports your long-term growth and resilience.
