What is Keyman protection?
What will it cost?
Who is a keyperson in your business?
Firstly you need to identify who a 'key' employee is in your business.
Do you have someone who has all your business technical expertise? Or maybe they are your in house accountant or book keeper? Are they the major player in your sales team?
Don't forget yourself!
There may be only one keyperson but quite often there will be three or four even in a medium sized business.
What would happen if they die or suffer a critical illness?
Reduced sales? Loss of turnover? Can't fulfill your orders? Difficulty in recruiting and/or training a replacement?
What's the answer? Keyman Protection.
A Keyperson is insured for life or critical illness. In the event of a claim, the proceeds are paid directly to the comapny. We can also offer Keyman Income Protection (Keyman permanent health insurance). This money could be used in several ways, for example:
You might perceive this insurance to be expensive? For example:
A 40 year old (non-smoker) male insured for 10 years for £100,000 would cost as little as £9.98 per month for life insurance or £38.30 per month for life and critical illness cover.
Not sure how much cover you need? Our advisers can help with a simple formula but you need to think about what you would need the money for. Recruitment? Training? Lost sales?
Who takes out the policy? The company takes out the policy on the life of the key person and the company, therefore, owns the policy.
Please call us on Freephone 0800 612 5094 or complete our on-line enquiry formM to obtain advice on this important area of your business planning.
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage. There may be fee charged for mortgage advice. The precise amount will depend upon your circumstances but the maximum fee would be 1.5% of the loan value. Some mortgage and insurance products are not regulated by the FSA.
FreshMortgage.net is a trading name of MDSW Mortgage Consultants who are an appointed representative of The Mortgage Times Group Limited, 279 Tottenham Court Road, London, W11 7RJ which is authorised and regulated by the Financial Services Authority no. 303007.