For any person managing their own business, either solely or with business partners, there are important questions that need to be considered as part of normal business planning. Will you be able to pass your business on to your children intact without it being ravaged by tax? How would the business survive in the event of my sudden death or the death of a partner? Would you be happy to be a business partner/shareholder with your deceased’s colleagues’ spouse or children?

Key Person insurance provides protection against the loss of an extremely valued employee of high financial or strategic importance to any business

Co-Directors Insurance can bring security and stability to a company’s directors. In the event of the death of one of the directors, it provides the funds to enable the surviving directors to buy the deceased’s shares from their next of kin. It also enables the spouse/children of the deceased shareholder to realise the cash value in lieu of their shareholding. Depending on your business set-up, this can be organised as a Co-Directors or a Corporate Co-Directors arrangement.

The sudden death of a partner in a firm can cause problems for both the surviving partners and the deceased’s next of kin. The surviving partners may be legally bound, either under their own Partnership Agreement, or under the Partnership Act 1890, to pay an immediate capital sum to the deceased partner’s estate in respect of their share of the business, while the surviving partners may not be able to fund the necessary capital required.