The business protection toolkit

What is business protection?

Put simply, business protection helps to protect your client’s business should a director, partner, member or key employee suffer a critical illness or die. Having this financial protection in place is vital in allowing businesses to recover quickly and minimise the impact should the worst happen.

Any business, large or small, is likely to face the unexpected at sometime. But your clients can reduce their risk by planning ahead. Whether your client is in a partnership, limited liability partnership (LLP), a sole trader or a company, we’ll take you through what you need to know when advising your clients about the importance of having adequate business protection in place.

And with a Business Menu Plan from Royal London you can mix and match a range of covers and benefits to tailor a plan that suits the needs and budget of your client’s business.

“You know what keeps the UK’s millions of small to medium-sized businesses up and running? It’s the people…  and copious amounts of tea and coffee, of course.”

“As a financial adviser, it’s my job to help these businesses to thrive, and to look out for their owners, like senior partner Linda here. But what if something nasty happened to Linda? It would be devastating.

“But without business protection, things could be even worse for both the business and Linda’s family.”

“Imagine this coffee represents all the company cash. The business would have to pay out a share of the company to Linda’s family, which could be… very expensive. But, without any agreement in place, Linda’s family might not get a fair price either. There may be director’s loans to be repaid. As well as all kinds of other things to take care of.  So now the business has a cash problem. And borrowing from the usual places, may no longer be possible."

“But… when you have Business Protection, you can help make sure your family is protected, your business partners are protected, your outstanding debt is protected, your shareholders are protected, and your key employees are protected.”

“So, with Business Protection, you can get an agreement in place, just like a will, to make absolutely sure… you’re in safe hands.”

“Speak to your financial adviser today to find out more. If you don’t have one already, you can find one in your area by visiting”

The main types of business protection:

  • Key person protection - to protect against loss of revenue if a key employee dies or can’t work because they’re critically ill.
  • Ownership protection (also known as partnership and shareholder protection) - to help the other owners keep control of their business if a shareholder dies or is critically ill.
  • Loan protection - to help repay outstanding financial commitments, such as director loan accounts or bank overdrafts, if the worst should happen to a key person or shareholder.

If you'd like more technical information on the different types of business protection, there's more detail in Technical Central. Alternatively, you can download a copy of our 'Technical guide to business protection'.

How Royal London can help you with business protection

We want to help you make the most of the opportunities in this market. Within the following pages you'll find all the tools you need to help plan, present and deliver business protection.

Whether you’re familiar with the market or just getting started, you’ll find expert advice, handy tips and time-saving tools to support you at every stage of the process – identifying opportunities, finding the right sales tactics and setting up a business protection plan.


This website is intended for financial advisers only and shouldn't be relied upon by any other person. If you are not an adviser please visit

The Royal London Mutual Insurance Society Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The firm is on the Financial Services Register, registration number 117672. It provides life assurance and pensions. Registered in England and Wales number 99064. Registered office: 55 Gracechurch Street, London, EC3V 0RL.