The claim is paid directly to the company or partners, which allows the firm some 'breathing space' to help keep the business trading as normally as possible. Again, LV= provides a helpful overview of KPI, as shown below.
Do it right, early
Mr Stewart's mantra is "Set your business up properly from day one", adding: "There is no state safety net should something unfortunate happen to your health.
"If you are in partnership with someone else, then key man insurance (often called key person insurance) is something that needs to be looked at."
"Likewise, if you are a limited company with other shareholders, have you had a discussion about what would happen to the other should something unfortunate happen to you?"
Mr Stewart pressed the point home: "These are the grown-up discussions that need to be had before you even think about opening the doors for business."
simoney.kyriakou@ft.com
