Individual Protection from AIG

Why a business needs protecting

​The death or critical illness of a key employee or a co-owner can have a major impact on a business. It could lead to:

  • A fall in sales;
  • A delay to product launches;
  • Delays in the completion of existing contracts (and possible financial penalties);
  • A lack of confidence in the business from a bank, suppliers, customers and other employees;
  • Loans may be called in;
  • Suppliers may demand payment upfront;
  • Customers may choose to go elsewhere; or
  • An increase in recruitment costs, ‘head hunting’ fees, or training costs for a replacement.

Without the cash to buy out a co-owner, the business could even end up in someone else’s hands.

​What is business protection?

Business protection is a type of insurance that helps protect a business against possible financial losses when illness or death affects the owners or their employees. By including business protection in a firm’s business plans, owners can help the business to survive and continue trading under seriously challenging circumstances.

Business protection is different to personal protection because it reflects particular business needs. For example, the insurance could cover the life of another person such as a key employee, to protect against significant loss of earnings should they die or while they recover from serious illness. Business protection can also be used to ensure the ability of business owners to repay a loan in similar circumstances.

AIG provides four main solutions, which are all available as either Term Assurance or Critical Illness with Term Assurance policies:


Business Protection - Customer guide


Key person protection can help insure against the financial losses that may arise if a key employee (also referred to as a key person) dies, becomes terminally ill or suffers a critical illness. It pays out a lump sum, giving the business the cash to meet its ongoing financial needs.​

​Business loan protection is similar to the personal life insurance taken out to cover a mortgage. In the majority of cases, you can protect the full amount with life cover, or life and critical illness cover. When you make a claim, the value of the policy is paid to either the business or directly to the lender if the cover has been assigned to them.

Share purchase protection is a life or life and critical illness policy that allows business owners to buy the insured shareholder’s interest in the firm should one of the business owners die or become either terminally or critically ill.​

Partnership protection is taken out to ensure that funds are available to allow the remaining partner(s) in a business to buy a partner’s shareholding if they die, become terminally ill or suffer a critical illness. This in turn gives each partner the security of knowing that their beneficiaries or personal representatives will have a ready and willing buyer instead of having to maintain an interest in the business.​

Every policy also includes Best Doctors for your and your immediate family.​

Business Protection cannot be purchased direct from AIG. We recommend you speak to a financial adviser to find out how Business Protection can help your company.

If you don’t already have an Independent Financial Adviser, you can find one at

If you would like to learn more, you can download any of our documents: ​

Business Protection Term Assurance Key Facts

Business Protection Term Assurance Key Facts

Key facts document
Business Protection Critical Illness Key Facts

Business Protection Critical Illness Key Facts

Key facts document