Level of cover required

The business entity needs to consider which persons are vital to the successful running of the business and what the impact would be if they were unable to carry out their usual duties due to accident or illness.

Financial commitments such as regular mortgage and lease repayments and commercial loans would need to be paid but would there be adequate revenue to meet these costs. The business may wish to employ a temporary executive whilst the key person is ill or recuperating, or perhaps the business may wish to pay for private rehabilitation to help facilitate the sick person’s return to work.

The following table shows some indicative costs, on a per capita basis, for £50,000 and £100,000 of cover, subject to the standard 60 day excess. Higher limits of indemnity and different excess periods are available.

Limit of Indemnity	£50,000	£100,000
Age 25	£336.00	£671.00
Age 30	£336.00	£671.00
Age 35	£357.00	£714.00
Age 40	£397.00	£793.00
Age 45	£436.00	£873.00
Age 50	£545.00	£1,091.00
Age 55	£682.00	£1,363.00
Age 60	£852.00	£1,704.00

Premiums are indicative only and are shown net of Insurance Premium Tax and Administration Fee.

The business may wish to consider Shareholder Protection, allowing the shareholders to protect the value of their shares, and providing the business funds to purchase the disabled person’s shareholding. This cover only applies when the insured person is permanently disabled from their usual occupation.

The following table shows some indicative costs, on a per capita basis, for £150,000 and £200,000 of cover, subject to the 180 day excess. Higher limits of indemnity are available.

Limit of Indemnity	£150,000	£200,000
Age 25	£627	£741
Age 30	£627	£741
Age 35	£658	£772
Age 40	£727	£853
Age 45	£813	£966
Age 50	£1,007	£1,195
Age 55	£1,249	£1,482
Age 60	£1,552	£1,839

Premiums are indicative only and shown net of Insurance Premium Tax and Administration Fee.