Learn to be a Financial Hunter - Not the Hunted
You Are Here: Home > Personal Finance > Keyman insurance > FAQs > Question & answer
Keyman insurance:

Can a Partnership take out policies

Yes, but it's not Keyman insurance you need. Rather you should buy insurance called Ownership Protection or in the case of a Partnership - Partnership Protection

See below for links further explaining the difference.

All of these policies fall under the umbrella of Business Protection insurance, which is split 3 ways -

  • Keyman insurance/Profit Protection - Insures against the loss of a key person, perhaps CEO or star salesman. If the policy pays out it can be used by the company for a myriad of reasons, including offering financial security or training and recruitment

  • Profit Protection - Insures against loss of profits should a key person pass away or be unfit for work due to a critical illness

  • Ownership/Partnership Protection - Pays out a sum of money to the remaining directors/partners which enables them to buy out the deceased/critically ill director/partner
[an error occurred while processing this directive]

© 2019 LearnMoney.co.uk All rights reserved

The information on the LearnMoney.co.uk website has been compiled from sources believed to be reliable, but is not warranted to be accurate or complete.
All recommendations and comments are provided for general interest only and should not be construed as advice.
Professional advice should always be sought before buying or investing in any financial product.
The price of securities and any income from them can go down as well as up.
Past performance of a security or market is not necessarily indicative of future trends.
Any opinions and recommendations on LearnMoney.co.uk are given in good faith, but without legal responsibility and are subject to change without notice