What is Business Protection?
Business protection is a type of insurance contract.
This can protect your business from the financial effects of key employees or business owners being diagnosed with a critical illness, dying or being unable to work due to disablement.
If you have a business loan or a mortgage on your company property, and your business weakens due to you or your partners illness/death, your lender could recover the debt by claiming it from your guarantor or their estate, if you don’t have the sufficient funds.
With there being more than one type of insurance protection, finding out which one is right for your business is a good place to start.
Key person insurance is something to consider if your business is reliant upon one or two key members. This can protect the organisation in the event that one of these crucial employees develops a critical illness or even dies. Having the right level of key person insurance can even give your company some financial support whilst going through a difficult transitional period.
If you’re your business doesn’t have enough employees to have a Death in Service insurance plan in place, relevant life cover might be suitable. This could help you draw in new talent to the team, as it would reduce their cost on keeping personal life insurance.
If you have a small or relatively new business, talking to a financial advisor could be the best course of action, if you haven’t yet got any business protection insurance in place. They can help you to understand what type of protection might be right for you, and the best way to protect you, your company and colleagues.
A financial adviser could help you make the right decision about protecting your organisation. All of our advisors are fully qualified to provide advice and are authorised and regulated by the Financial Conduct Authority.