Keyperson Insurance
A business may be financially and operationally impacted by the loss of a key person in the event that they die prematurely or become seriously ill.
The future profit of your business may be at risk
The business will have to survive without that person’s unique skills, business contacts, management experience or intimate knowledge of your business; this may result in a reduction in service standards and a loss of confidence by both customers and suppliers
Bank loans could be called in - particularly if the keyperson had given a personal guarantee.
There could be a withdrawal or reduction of credit facilities by suppliers who are concerned about the future of your company due to the death or serious illness of the keyperson
Recruitment costs
What is keyperson insurance?
A business puts life insurance in place on its key employees with a view to compensating the business for an anticipated financial loss in the event of death of the individual covered.
The key employee can also be covered for serious illness. Important benefit payable to the company here!
In the event of death or serious illness of a key individual, the lump sum payment from the policy can help compensate the business for any loss of profit, or it can also be used to repay business loans, and/or to recruit a suitable replacement.
Research has proven that those that engage with a professional advisor at least once a year are more financially confident.
More savings and investments
More likely to have a retirement plan
More financially protected in the event of illness, accident, diagnosis of a specified illness or even death
More secure and confident about their future
Higher annual savings, larger pension funds, wealth growth, adding considerably to your financial well being and helping you achieve your goals.
Source; Ireland (Standard Life report), UK (Unbiased/Standard life report), Australia (KPMG Econtech report) and Canada (CIRAMNO report).