Business Protection  

SMEs at risk of closure if key person dies

Tom Conner, director at Drewberry, said: “This highlights the need for business protection insurance. 

“Businesses across the UK are hugely underinsured and this is primarily because so many businesses don't know that business protection products exist. 

“As an adviser, it was very pleasing to see that such a high proportion of business owners were happy to be contacted about this important cover. There's a big opportunity out there for advisers.”

Recent research by SwissRe also highlighted a shortfall of business protection in the market, stating that for 2017 it accounted for only 2.5 per cent of all term life insurance and critical illness sales.

The SwissRe report stated: “While a larger business is more likely to build succession plans smaller businesses are more vulnerable.

"Protecting those that make it happen should be a fundamental part of a business plan, be it staff, owners or shareholders.”

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