Key Person Insurance
You would probably find it unthinkable not to have insurance protecting your business from the effects of fire or burglary.
However, the effect of losing one of your key directors/employees from within the business could be much more difficult to recover from.
Most businesses have an individual who is key to the success and profitability of the business, a 'key person'. The death or serious illness of a keyperson can financially impact your business in the following ways:
- The costs of recruiting and training a replacement.
- A loss of sales and new contracts.
- A loss of confidence in the business.
- Additional pressure on senior personnel covering the key person, possibly causing some staff to leave.