Can I put life insurance through my business

Yes, you can put life insurance through your business in the UK, and there are some nifty tax benefits to boot! Here’s the lowdown:

1. Relevant Life Insurance: This is a popular option for business owners. It’s a tax-efficient way to provide life cover for employees, including directors. The premiums are usually tax-deductible as a business expense, which means they can reduce your corporation tax bill.
2. No Benefit in Kind: Unlike some other benefits, relevant life insurance isn’t considered a benefit in kind. This means neither you nor your employees will have to pay additional income tax or National Insurance on the premiums.
3. Keyman Insurance: This type of policy covers key employees whose loss could financially impact the business. The premiums for keyman insurance can also be tax-deductible, provided certain conditions are met.
4. Death in Service: This is another form of group life insurance that pays out a multiple of an employee’s salary if they pass away while employed by the company. The premiums for death in service benefits are typically considered a business expense, so no corporation tax is due on them.

In a nutshell, putting life insurance through your business can be a smart move, offering financial protection and some sweet tax perks.