Share Protection

Share protection through life assurance

Directors' or partners' share agreements may provide for the remaining directors to purchase the shares of other shareholding directors should they die. However there is a risk that the remaining directors may not have sufficient funds to hand when a fellow director passes away unexpectedly.

One way round this is to take out life cover as a source of funding.

To arrange such cover requires the understanding and agreement of all concerned. It will also require some careful figure work to determine how much cover is required. However, it will be a comfort to all directors or partners of a business to know that their own or a colleague's death will leave the other directors with sufficient support to carry out the terms of their shareholders' agreement.

Life Assurance Enquiry

Aspire Independent Financial Planners LLP is a Limited Liability Partnership and is authorised and regulated by the Financial Services Authority. Aspire Independent Financial Planners LLP is entered on the FSA register (www.fsa.gov.uk/register/) under reference 456867.

The FSA does not regulate Will Writing, National Savings products or some forms of Inheritance Tax Planning, Mortgage or Offshore Funds.

The advice and / or guidance contained within this site is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK.