Your company can provide this cover for all or selected Directors Partners and employees.

What is relevant life insurance?

Relevant life insurance is an individual death in service policy that provides tax efficient life cover for your employees.

It is a plan paid into by the employer for the benefit of the employee. The policy will pay a lump sum if the employee dies whilst employed during the length of the policy or suffers a terminal illness. Some providers of relevant life have now increased this cover to pay out if the employee is diagnosed with a critical illness.

Who are relevant life policies aimed at?

Small business directors looking to provide this kind of benefit to their employees. Up until recently this kind of personal life insurance was only available through a Group Life Scheme, which was only possible for companies wishing to insure 10 or more employees.

It is important to note that ’Relevant life’ policies aren’t available where there isn’t an employer employee relationship.

Savings and benefits

Relevant life plans are similar to most other types of life insurance policies, apart from they provide a tax free lump sum on death, or diagnosis of a terminal or critical illness, with the proceeds going directly to the employee or the employee’s family.  The premium paid by the employer is treated as a business expense, receiving corporation tax relief, not a benefit in kind to the employees.

Cover is tailored to suit your business as you decide on the cover amount and term.  And if the employee leaves the company they have the option to move their relevant life cover to a personal one or to a new employer.


The person covered must be a UK resident and an employee of a UK business. Cover must stop by age 75.

Contact Ian Stevenson on 0161 928 3991 [email protected] or you can visit our web site.