Relevant Life Insurance Policy

Why choose our Relevant Life Plan?

Relevant Life Plans are an excellent way to ensure employees (including directors) in the event of an unexpected death or diagnosis of a critical illness. The plans are set up by businesses and provide cover for employees who work a minimum of 16 hours per week.

What are the benefits of a Relevant life policy? 

Tax-efficient solution to ensure your staff
A Relevant life policy is a whole life insurance policy, taken out by an employer on the life of an employee, from which both the employer and employee can benefit.
The premiums are paid for by the business, and as the policy is set up under a trust, the benefits are paid out tax-free to the beneficiaries. This makes it an attractive proposition for business owners looking to provide financial protection for their employees while also benefiting from tax breaks.
Great for smaller businesses
Relevant Life Insurance is often seen as being more suitable for small businesses, as they can be set up with relatively low premiums and can be tailored to the specific needs of the business.
What’s more, they offer a flexible way to provide death-in-service benefits to employees, without the need for a group life policy.
-Attract and retain talented staff
In today’s competitive job market, offering benefits such as death-in-service cover can help you attract and retain the best talent. Relevant life plans can also be used as a tax-efficient way to reward and incentivise employees.
So, if you’re looking for a way to provide financial protection for your employees, while also benefiting from tax breaks, a relevant life policy could be the perfect solution.

How to choose a Relevant Life Plan?

When choosing a Relevant Life Insurance there are a few things you need to take into accounts, such as the level of cover you need, the length of the policy and the premiums.
You also need to make sure that the plan is set up in trust, as this will ensure that the benefits are paid out tax-free to the beneficiaries.
Here’s a quick guide to help you choose the right plan for your business:

  1. Decide on the level of cover you need
    The first step is to decide on the level of cover you need. This will depend on factors such as the number of employees you have and what type of business you run.
  2. Choose the length of the policy
    The next step is to choose the length of the policy. This will depend on factors such as the age of your employees and how long you want the cover to last.
  3. Choose the premiums
    The final step is to choose the premiums. This will depend on factors such as the level of cover you need and the length of the policy.
  4. Make sure the plan is set up in trust
    Once you’ve decided on the level of cover, length of policy and premiums, you need to make sure that the plan is set up in trust. This will ensure that the benefits are paid out tax-free to the beneficiaries.
  5. Get quotes from different providers
    Once you’ve decided on the level of cover, length of policy and premiums, you need to get quotes from different providers. This will help you compare the different options and find the best deal. We can help you find the right provider for your business. Contact us today for a free quote.
    Choosing the right Relevant Life Plan can be a complex process, but we’re here to help.

FAQs

How does key man insurance work?

Key man insurance is a life insurance policy that is taken out by a business on the life of a key employee. The purpose of the policy is to protect the business in the event of the death of the key employee.

Is employee life insurance taxable?

No, the benefits from an employee life insurance policy are paid out tax-free to the beneficiaries.

What is the average cost of relevant life insurance?

The average cost of relevant life insurance will depend on factors such as the level of cover you need and the length of the policy. The best way to get an accurate quote is to contact us today for a free quote.

What are the benefits of life cover?

There are many benefits of life cover, such as financial protection for your family, peace of mind and tax breaks.

Is employer-paid life insurance taxable to the employee?

No, the benefits from an employer-paid life insurance policy are paid out tax-free to the beneficiaries.