Is key person insurance tax deductible in the UK?
This article was last updated:
This article was last updated:
In short: yes.
Key person insurance is a type of life insurance that is often used by businesses to protect themselves financially in the event of the death of a key employee. The insurance pays out a lump sum to the business, which can then be used to cover the costs of finding and training a replacement, as well as any lost profits.
In the UK, key person insurance is tax deductible, which means that businesses can claim back some of the premiums paid on the policy. This can be a valuable way to reduce the cost of the insurance and make it more affordable for businesses.
Life insurance can be a tax deductible business expense in certain cases. For example, if the life insurance policy is taken out on a key employee, the premiums can be deducted as a business expense. Additionally, if the life insurance policy is used as collateral for a business loan, the
Our experts review costs, policy features, and customer feedback on LV='s range of Life Insurance policies.
Get the low-down on Royal London's life insurance policies, from prices to customer feedback to claims.
Copyright © 2023 itsforlife.co.uk