64% of businesses have not heard of a Relevant Life Plan.
A Relevant Life Plan is a life insurance plan available to employers to provide an individual death in service benefit for their employees.
It’s designed to pay a lump sum to the employee’s family if the employee dies when employed, while the plan is in place.
Terminal Illness Cover is included, which could pay out if the employee, whilst employed and covered by the plan, is diagnosed with a terminal illness, with life expectancy of less than 12 months. Premiums are paid, and the policy is owned, by the employer.
The policy must be placed into a Relevant Life Plan Trust, which can be tax-efficient for both employee and employer.