

1.1 Customise Your Life Insurance Plan
When considering a life insurance plan for business, there are a few variables you can adjust to meet your requirements. Depending on the underlying purpose (e.g. insuring against a long term loan) and premium affordability, you may wish to speak to qualified financial advisor to adjust the sum assured, premium contribution period and break-even point from cash value perspective.
1.2 Insure Your Long Term Liability
With a positive outlook for your business, you may have obtained a long term project financing from your financial service provider. The pay back of the term financing is usually from the project cash flows and may be dependant on the keyman of the business. To contain the risks of your long term venture for instance, life insurance can be a useful tool to insure your keyman who are pivotal to the growth of business. The size of the sum assured can be injected to the business for repayment of loans when unfortunate event happens.
1.3 Buy Out Shares of Deceased Shareholder
For private companies and partnerships, it is very important to plan for eventualities. The company may prosper due to complementing partnerships and trust established over time between stakeholders. Due to unexpected departure of a key shareholder, you may be forced to look for an alternate investor or look for cash to buy out shares of deceased shareholder. Under such circumstances, you may dilute the control of your business and adversely affect its prospect
In your opinion, when is a good time for your business to consider risk management?