Relevant Life Insurance is a business expense and available to businesses registered in the United Kingdom. The plan can only provide cover in respect of British Citizens and those residents in the United Kingdom, aged 17 up to 71.
Relevant Life Insurance is to cover an employee within the business for loss of life - known as the person covered. An employer can be a Sole Trader, Limited Company, Partnership or a Charity (as a business with employees). The Relevant Life plan benefits are written into a Trust so that the benefits are free from Tax and they are not a trading receipt for the company. Typical maximum sum assureds
Included income
Income includes salary, bonus, and dividends paid in lieu of salary plus any taxable benefit in kind. This is only a guide only. A recommendation will be made once we’ve looked at your personal circumstances.
- Depending on the age of the person covered (Maximum sum assured is based on salary multiples)
- If aged 17-29 Maximum sum assured 35 x income
- If aged 30-39 Maximum sum assured 30 x income
- If aged 40-49 Maximum sum assured 25 x income
- If aged 50-59 Maximum sum assured 20 x income
- If aged 60-71 Maximum sum assured 15 x income
Included income
Income includes salary, bonus, and dividends paid in lieu of salary plus any taxable benefit in kind. This is only a guide only. A recommendation will be made once we’ve looked at your personal circumstances.
Payment of the plan
Paying for your policy. Your business pays the premiums for Relevant Life Insurance and the cost of the premiums is usually viewed as an allowable business expense. This is as long as the local inspector of taxes is satisfied that they qualify under the “wholly and exclusively” rules as governed by HMRC. For example, the expense is incurred “wholly and exclusively” for the purpose of the business’ trade and is not “excessive” in the particular circumstances.
Make an enquiry
For any enquiries about Relevant Life Insurance: • call 01189 291313 • CLICK HERE TO MAKE AN ENQUIRY
Paying for your policy. Your business pays the premiums for Relevant Life Insurance and the cost of the premiums is usually viewed as an allowable business expense. This is as long as the local inspector of taxes is satisfied that they qualify under the “wholly and exclusively” rules as governed by HMRC. For example, the expense is incurred “wholly and exclusively” for the purpose of the business’ trade and is not “excessive” in the particular circumstances.
Make an enquiry
For any enquiries about Relevant Life Insurance: • call 01189 291313 • CLICK HERE TO MAKE AN ENQUIRY
IQ Financial Services Limited do not provide tax advice. Please ensure to seek independent tax advice
CONTACT US TODAY OR CALL 01189 291313 FOR MORE DETAILS.
Contact UsImportant Disclaimers
AR disclosure
IQ Financial Solutions Limited is an appointed representative of HL Partnership Limited which is authorised and regulated by the Financial Conduct Authority.
Limited company
IQ Financial Solutions Limited are registered in England and Wales / or Scotland. Registered No: 08248919 Registered Office: Gautam House, 1-3 Shenley Avenue, Ruislip Manor, Middlesex, HA4 6BP
Jurisdictional statement
The guidance and/or information contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK
Mortgage risk
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