Business Loan Protection
If your business has outstanding borrowings such as a loan, commercial mortgage or director loan account then Business Loan Protection could help you.
What is Business Loan Protection?
Business Loan Protection can help businesses pay an outstanding overdraft, loan or commercial mortgage, should a key person die or be diagnosed with a specified critical illness (if chosen) during the length of the policy. It can also pay out on a diagnosis of terminal illness if our definition is met.
How does it work?
Business Loan Protection is a life assurance policy or a life assurance and critical illness cover policy. It can be taken out on the life of a person within your business. When a valid business loan protection claim is made a sum is paid to help repay an outstanding debt.
Why consider Business Loan Protection?
Being unable to repay loans can be a serious problem for a business following the death of a key person. For instance, Director loan accounts should be paid off on death – without business loan protection, where would this money come from?
Any property used as security, which may include your home, may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it.
Commercial mortgages are not regulated by the Financial Conduct Authority.