Why have Key Person Insurance
Most companies insure their buildings and physical assets against risks such as fire, flood, theft and equipment breakdown. However, they often overlook their most valuable asset: the key individuals at the top of the organisation who drive critical business functions. Without these people, the business could face serious disruption—and in some cases, may struggle to survive.
What are the Benefits of Key Person Protection Cover?
A question we're often asked is, “Why is key person insurance important?” Recent research shows that more than half of businesses would cease trading within 12 months if a key employee were to pass away or become critically ill. That alone is a compelling reason to consider this type of cover.
Smooth Transition Support
It can cover the cost associated with finding and training a replacement, helping to minimise the length of time that others will be expected to take the strain.
Ensures Dividend Stability
It can cover the loss of profits that might follow the loss of a key person - which enables the surviving shareholders to maintain their dividend income.
Ensures Financial Stability
Financial stability and security are provided during this transitional period.
Builds Investor Confidence
Reassurance is afforded to creditors and investors about business continuity.
FAQs
Looking for a Key Person Insurance?
Wealthmax is here to help. Our advisers are experienced in business protection and can design a plan tailored to safeguard your business. Contact us today to secure the right cover and protect your company from the financial impact of losing a key employee.