Relevant Life Cover

Building your own successful business brings challenges, rewards and benefits. It can be hard to find time to ensure you’re making the most of the benefits and allowances allowances available to you.

Being a director of a limited company, you can enjoy valuable tax benefits if the premiums for your life insurance are paid by your company instead of from your personal income after tax. Making it more affordable to have the right insurance in place to protect your family.

Relevant Life Policies are not only open to you, they are the perfect employee benefits solution for small businesses, allowing you to offer your employees both life insurance and a wide-ranging benefits package that not only rewards them but help them to live life well. It's set up by the company and pays out a tax-free, lump sum on the death (or diagnosis of a terminal illness) of the person insured. The proceeds go directly to the employee's family or financial dependants.Which is good for you as well as them. Healthy employees are likely to be more engaged, take less time off sick and be more productive. It will also help you to attract and retain the best people.

What’s more your business can make significant tax savings and, in some cases, almost 50% on gross premiums using a Relevant Life Policy compared to using traditional life policies.

Also Read: Relevant Life Cover - Life Insurance for Employees and it's Tax Benefits

Benefits for your business

• Tax efficient – make nearly 50%* tax savings
• No National Insurance Contributions payable or P11D benefit
• A great employee benefit for small businesses, especially where death in service is not available
• Cover amounts can be tailored

Benefits for you and employees

• Cash lump sum payment for terminal illness as well as death
• Demonstrates to your staff the value you place upon them
• Tax efficient – no National Insurance on premiums or Inheritance Tax on a payout
• It doesn’t count as a retirement benefit so won’t affect Lifetime Pension Allowance

Also, the claim amount isn’t subject to any income tax, corporation tax or capital gains tax implications, where the relevant life policy is held in a trust.

To find out more please call us on 03300 88 66 86.