Relevant Life Policies
Relevant Life Plans allow you to provide employees (including directors) with tax efficient death in service benefits without the need for, or alongside, a pension scheme.
Relevant Life Plans can be particularly beneficial for small businesses that don’t have enough eligible employees to warrant a group life scheme. They can also be attractive for high-earning employees or directors who have substantial pension funds and don’t want their benefits to form part of their lifetime allowance, and for members of group life schemes who want to top up their benefits.
It can be arranged to provide a lump sum if the employee dies or is diagnosed with a terminal illness.
Remember these plans don’t have a cash-in value at any time and if you stop paying your premiums your cover will stop.
Executive Income Protection
With executive income protection, employers can continue paying a salary to ill or injured employees while they’re unable to work. This can be a valuable addition, as statistically employees are more likely to be unable to work due to illness or injury, rather than die.
Executive income protection can work well when considered alongside Relevant Life as an overall employee benefits package, as neither are treated as P11D benefits. This information is based on our understanding of current legislation, taxation law and HM Revenue & Customs practice. We can help you design competitive employee benefits packages for your clients, with only one online application to be underwritten.