Key Person Insurance (also known as key man insurance or key person protection) is when a company insures itself against the financial loss it would suffer if a key person died or was diagnosed with a critical illness.
Pays out if the key person is terminally ill.
How does it work?
Key Person Protection is basically a life insurance policy taken out to cover the life of a key person within your business.
The policy is owned and paid for by the employer, so any pay out is payable to the employer. Premiums are also tax deductible.
Could you need it?
The loss of a key person in your business could have a severe impact. The business could suffer badly, with sales and profits falling and increased workloads for the remaining staff.
The proceeds could be used to help replace lost profit or to hire a replacement.
How we can help
Acorn Financial Services can discuss your needs with you and help you safeguard your business against the death, terminal or critical illness of a key person with key person protection.