Ideal for businesses looking to provide top-up benefits to an existing group life scheme, or for those without a group life scheme, relevant life cover is a tax-efficient life insurance policy, allowing employers to offer death-in-service benefits to specific employees and salaried directors.
Relevant life cover is being increasingly used by small businesses to attract and retain highly experienced employees as part of an attractive benefits package. The policy pays out a tax efficient lump sum amount in the event of the death or diagnosis of a terminal illness of the employee insured. This sum goes directly to your employee’s family or financial dependants.
At LDNfinance, our experienced, highly professional advisers regularly assist business owners with arranging relevant life cover policies, which must be written in a discretionary trust. Your nominated LDNfinance adviser will be experienced in arranging relevant life cover that can evolve over time to meet the changing needs of you and your business.
Relevant life cover that’s tax efficient for businesses and employees alike
Your nominated LDNfinance adviser can help to arrange relevant life cover on an individual and life-of-another basis with you, the business owner, as the policyholder. Relevant life cover premiums are paid by the business, and are usually considered a permissible business expense by HM Revenue and Customs (HMRC). A relevant life plan is also deemed attractive to employees as it does not count towards their lifetime pension allowance, giving those with an already sizeable pension pot an alternative form of life insurance.
If you require impartial guidance and support on deciding the best way forward for life insurance options for your employees, our advisers are on hand to discuss how relevant life cover could work as part of your staff benefits package.
Let’s discuss your business’ unique circumstances and arrange bespoke relevant life cover that helps your valued workforce plan for the unexpected.