Businesses take out loans for many reasons  and the ability to repay them may rest with one or more few key people, perhaps the business owner or a director.  If something were to happen to one of those key people, the business can opt to ensure there is enough money to repay those outstanding loans.

Whether they are a key employee, partner, business owner or director, this type of policy will ensure that the business can continue to function and not be impacted by the lack of ability to make loan repayments in the event of death or critical illness.

There are things to consider here, such as the level of cover required, how long for and indeed whether the policy will meet the “wholly and exclusively” test – don’t worry – we’ll talk you through it.