Partnership Insurance
Partnership Insurance
Partnerships form the backbone of many businesses. But what happens during your business partner's demise, departure, or disability?
This is when partnership insurance comes to help.
Partnership insurance refers to specialized business protection insurance allowing businesses to purchase their deceased partner's shares from their closest relatives.
- Partnership insurance offers the funds to help other business partners purchase the deceased partner's share.
- It ensures business continuity by facilitating the smooth transfer of ownership, preventing disputes, and maintaining customer and creditor confidence.
- It protects against debts and liabilities, preventing surviving partners from shouldering undue financial obligations.
Partnership Insurance for Businesses
Partnership insurance provides financial coverage in case of various risks and events that can negatively impact the partnership's stability and continuity.
An experienced insurance advisor can help you select the right insurance plan that covers all the risks and offers maximum benefits.
Features of partnership insurance:
- The proceeds of the claims will be considered as the firm’s income
- Premiums are treated as expenses under section 37 (1) of the Income Tax Act
- In the event of the partner’s death, the proceeds are paid to the firm directly
How to Choose the Right Partnership Insurance Advisor
When choosing a partnership insurance advisor, make sure he/she has an ideal combination of the following criteria:
Nesting Wealth has extensive experience assisting people in selecting the right partnership insurance with adequate coverage and an affordable premium. Our professional advisors have a proven track record of excellence and offer customized solutions based on your needs.
