Executive Income Protection Benefits for Employers
- Safeguards a substantial portion of income for chosen employees, including directors.
- Enables effective management of sick leave costs.
- Enhances employee loyalty.
- Can cover the costs of employer pension contributions.
- Policy premiums may qualify as deductible business expenses for tax purposes.
Executive Income Protection Benefits for Employees
- If they cannot work due to illness or injury, a substantial portion of their income may be covered, alleviating additional financial concerns.
- The Income Protection benefit continues until the specified expiry age outlined in the policy if they are unable to return to work.
- The employer fully covers the cost of the policy.
- Access to additional benefits such as Royal London Helping Hand or Aviva Care.
How long should an Executive Income Protection policy last?
When taking out the policy, you have the flexibility to select the expiry age that aligns with your business needs. This is when your employee’s cover will end, and you can opt for any age between 55 and 70.
Selecting an expiry age that coincides with the average employee’s retirement age is a frequent practice.
Make sure it works for your business by talking to one of our financial advisors, especially because some occupations have earlier expiration ages.
Protect Pension Contributions
You also have the option to include coverage for employer contributions to the employee’s approved pension scheme.
The maximum allowable protection for employer pension contributions is 35% of earnings, with a maximum limit of €50,000. Providing evidence of these contributions may be necessary.
If you make an insurance claim, the insurance company will directly pay your benefit to you, deducting applicable taxes, USC, and any other relevant deductions.
Get your Executive Income Protection with True Wealth
Don’t leave the well-being of your key employees to chance—partner with True Wealth and safeguard their financial stability today.
Our comprehensive plan offers financial security for both employers and employees, ensuring a steady income in the face of unforeseen illness or injury.
Additionally, read our article, Can Your Business Afford to Lose a Key Person?
Gain in-depth knowledge by exploring our article, A Guide for Business Owners on Protecting, Extracting, and Growing Wealth in Ireland.
We at True Wealth are experts in personal and business financial planning, retirement and pension planning, pension tracing, savings and investments, protection, mortgages, and wealth management.