Budget Summary - Summer 2010
NEW - Guide to Annuities
NEW - Beginners Guide to Inheritance Tax
Corporate Protection
Corporate Protection
The owners, directors and key team members can be the most valuable asset of your company – yet they often go uninsured, while their cars and desks are covered. Griffins Financial Solutions can protect your business and stakeholders from their loss or illness.
The benefits of corporate protection can be particularly valuable for SMEs, where the principal shareholders are often the key employees as well. Yet strangely, protection for key employees and shareholders is often a low priority in the UK in comparison with the US, where the take-up is five times as great.
- Key Person insurance covers the business from the death of major contributors to profit – sales, design, management personnel. Critical illness can also be covered – a non-fatal but probably lifestyle-changing heart attack, stroke or cancer is six times as likely to occur before retirement than death.
- More likely to occur is a lengthy absence due to illness – and illness cover for up to two years can help cushion the cost of paying a key employee’s salary – often whilst having to pay for an experienced interim manager to carry out that vital work.
- And what would happen if a fellow director/shareholder died? His or her shares would probably pass to the spouse, or other family member – who would probably rather have the money, while you would rather have the shares. A shareholder protection policy would provide the finance – but ensure it is set up with the appropriate trust and cross-option agreement.
Griffins Financial Solutions offer no-obligation advice on the options available to protect your company from the impact such an event could have on your business.
Griffins Financial Solutions Limited is authorised and regulated by The Financial Services Authority. Griffins Financial Solutions Limited is entered on the FSA register under reference: 118099.
The advice and/or guidance contained within this site is subject to the UK regulatory regime and is therefore targeted at customers based in the UK.