Directors Life Insurance

If you have life cover you will probably be paying it from your personal bank account, after you have paid company and personal taxes.

Large companies avoid this tax by giving their employees life cover through a registered group ‘death in service’ scheme.

However, your company can also set up life insurance for you and the other directors and even employees, by taking out cover through a ‘relevant life policy’.

Relevant life policies have tax benefits available to both employers and employees;

• Potential tax relief on the premiums for the employer, subject to the local tax inspector agreeing to it
• Not a benefit in kind for the employee
• Not subject to national insurance for either employer or employee
• Benefits are payable tax free to the director or employee’s dependents
• Benefits do not count towards the lifetime allowance for pension purposes
• Higher than the usual maximum of four times salary allowed in registered group life schemes

In order to set up a relevant life insurance policy for yourself or your employees, get in touch with us today and we will advise you on the most suitable policy for your needs and deal with all the paperwork and trust documents to set it up correctly for you.