Sm Mortgage Services

Business Insurance

Protecting your business

Is your business at risk?

As a business owner, you are critical to the continued success of your organisation.

But if you, or a co-owner were to become seriously ill or die, it could lead to serious problems:

  • If you’re a sole trader, your business could fold if you were no longer around to run it, which could have a life-changing impact on those left behind.
  • The death or serious illness of any key employees could affect the revenue and profitability of your business.

With our help and some sound planning these issues can be avoided.

A business owner’s death, or serious illness (causing permanent or extended absence), could result in a loss of business revenue. This, in turn, might lead to:

  • reduced profits (or increased losses) for the business
  • reduced income for the owners and/or their family
  • difficulty in repaying business debts (including those owed to the deceased or ill owner)
  • loss of confidence among suppliers, clients and lenders
  • loss of clients
  • difficulty in meeting ongoing costs
  • increased costs (eg. recruitment)

How to protect your business?

The financial problems that might arise from an owner’s death can often be solved through appropriate insurance.

Typically, the business would take out the insurance. However, depending on the type of business you have, careful planning may be needed when it comes to setting up and holding the chosen insurance policies.

The cost of cover will depend on a number of factors including:

  • the sum insured
  • terms of the cover
  • age and state of health of the insured

To explore the specific options for your circumstances, please get in touch.

We can help you to carry out a protection-gap assessment and to take appropriate action to economically and tax-efficiently close it.