First of all, if you are buying a keyman insurance Singapore then you have come to the right place as here in our company you will get all the benefits of buying the keyman insurance that is you will also get a free cover of critical illness insurance with the keyman insurance policy that you are taking from our company and also we have all the blogs and also a FAQ option on our webpage in which you can click on and then select the question which is running through your mind and there you will the appropriate answer that has been given by the employee of the company.
Keyman also called as a key person is that person in the company due to whom the company has made a huge amount of profit and also the sales of the company is increasing overtime also the company has gained much reputation in the market after its successful and also the fast rate of growth due to the idea of the key person and also due to the efforts of all the employees who work in the company as without them there will be no one in the company which can help the company to work and also create, pack, dispatch and deliver the product to either the customer’s house or to a shop.
Before you apply for keyman insurance without thinking about it once, then you are wrong as you should research about any insurance policy, the loan which you are taking from either the bank or the financial institution as after searching on the internet you will find n number of the company which provide this type of insurance policy and also you will get to know the different rate of interest that other companies are providing to their customers according to which you can also select an appropriate amount of interest that you want to charge to your customer who takes this type or any other type of insurance policy from you.
Here is the list of the ten things that you should consider before buying keyman insurance:-
- What is keyman insurance:-
Keyman insurance is that policy which has been taken by the company for the employee which is the best in their company and is also responsible for the huge growth of the company in the given time period of the company and due to which the sales chart of the company has gone through the roof due to which the company is rising, and also the company has become one of the top 20 company in that country, and its race to the biggest three has begun.
Keyman is referred to that person who is responsible for the enormous growth of the company due to a simple idea or by using the contact of the person to making the company well known in the market.
- Look at the financial needs of the company:-
Before you have read the contract and signed it and given it to the place from where you will take the insurance policy amount from then before that you should consider taking a look at the company’s financial needs, and also you need to look at the financial books of the company to see the current debts and then decide if you want to take the policy or not.
- Who can buy keyman insurance:-
Keyman insurance can be bought by anyone or any company that is ranging from either a small startup, small business to a huge business but usually, huge businesses do not take a keyman insurance policy as they do not want to waste their time in investing for something that is of no use to the company if the keyman decides to withdraw the amount of policy before maturity.
- How much does keyman insurance cost:-
To find out the exact amount of money that will cost the business then you have to remove all the books of account and then see how much does the yearly salary of the key person is so that will become the minimum value of the policy and if you take the net profit of last three years company and multiply it by five, then that will become the maximum amount of the policy.
- What does keyman insurance cover:-
Keyman insurance will provide you with the cover for the loss of the life of the key person of the company, and the company can use the amount of this policy to pay off any remaining debt to the person or the company to which the company owes to.
- Where can you buy keyman insurance from:-
You can take the keyman insurance from either the bank or you can also take the insurance from any financial institution. But first, you should take some suggestion from the financial supervisor of the company and then take any decision after you have researched about the policy in the market.
- Do I need keyman insurance:-
If you own a company that is working almost daily, but the sales of that company have hampered due to the laziness of the employees, and the company is in loss then the employee who is responsible for the huge profit will be the one for which you can take a policy for to keep them happy.
- Who is the key person:-
A key-person is that employee in the company due to whom the company was able to increase its sales and also make a huge profit while there was a crisis in the company.
- Is keyman tax reducible:-
Yes, the tax is reducible under the expense act of the company’s which states that those company in debt will receive from a reduction in debt payment.
- What level of insurance do you need:-
You can decide the type of policy that you want after you have had a look at the amount of debt that the company is currently drowning in and also you should think about how you can repay back that debt.