Would your business be able to continue after the loss of a Shareholder, Director or key individual? Business Protection Insurance can help your business return to normal following their death or critical illness
Talk to us about your options for Business Protection Insurance. We have a range of options to suit the needs of most businesses. We can help you assess and manage your risks and even provide quotes for your business.
What is Business Protection Insurance?
If one of your Directors, Shareholders or another key individual should die or become critically ill, this could create uncertainty about the future of your business. Business Protection Insurance is designed to provide a lump sum to help your business or your shareholders to react appropriately and enable the business to continue. If such a situation should arise it could impact upon the performance and ownership of the business.
What are the different types of Business Protection Insurance?
There are different types of Business Protection Insurance:
- Key Man Insurance – which provides a lump sum to help the business continue.
- Shareholder Protection – which provides funds for the remaining shareholders to purchase the deceased individual’s shares.
Both of these can include cover for critical illness as well as death. Specific cover can also be arranged in conjunction with any loans or other commitments. Lenders may insist that you have suitable Business Protection Insurance in place in order to borrow money in the first place.
What do you need to consider for Business Protection Insurance?
Before you arrange Business Protection Insurance, it may be beneficial to give some consideration to the level of risk your business faces, such as:
- How much income does each key individual generate?
- Does any individual have specialist skills or experience that are hard to replace?
- What is the equity value amongst your shareholders?
By carefully considering your risks, you’ll be better placed to find the right cover for your needs. We can of course help you to fully assess your circumstances and provide you with suitable quotations before you arrange cover.
How can JM Glendinning help you?
We have many years’ experience of arranging Business Protection Insurance for clients, so we can help you to understand your risks and plan for the future. We’ve been in business since 1987 and have received many testimonials from satisfied clients along the way.