Keyman & Keyperson Insurance, do I need it?
Keyman & Keyperson Insurance is used by businesses to cover a “key person”. Usually the type of person that would be considered a key person, would have a significant bearing on the companies profitability, the loss of them could significantly reduce your revenue or even in some cases the negative effect of the capital value of the company. So at this point you have to ask your self does any employee, executive, sales person or partner going to effect your business in a severely negative way due to their unforeseen death accident or illness? If you answer yes, my business will be negatively effected, then you have a strong case for needing Keyman Insurance.
You will need to consider how much cover you will need to be insured for, if you are a large company the sudden loss of a direct might see the loss of millions of dollars so you would have to consider getting a multi-million dollar policy in place, but if you are a small company with a salesperson for example that brings in revenues of a few hundred thousand a year then you may be able to consider a smaller policy that only covers you for the minimum amount offered by the insurers, which usually works out to be $500,000 in cover.
But as always when you are considering any sort of insurance product you really need to sit down with a professional who can asses your requirement and get you the best cover for your business to cover you for now and into the future.
We can help with all types of cover such as:
Call us to today to enable us to help you with your business or personal insurances 1300 669 664