Relevant Life Insurance for Freelancers

3 min
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What is Relevant Life insurance for freelancers?

The Relevant Life Insurance cover is an insurance policy that lets its company directors and employee get a ‘death-in-service’ benefit in a tax-efficient way. The cover is taken out by the company and will allow a lump sum payment to be made on death or if the policyholder is diagnosed with a terminal illness. This payment is made to the family or those or who were financially dependent on the policyholder. This lump-sum payment is tax-free.

How does getting a Relevant Life Insurance cover work?

You can take out the Relevant Life Insurance cover with our trusted partners at Freelancer Financials. You can simply fill in the form below and the team at Freelance Financials will be in touch.

Getting a Relevant Life Insurance allows you to also cover others that are working for your company. For example, if your partner happens to be working with/for you and is an employee of the company, you can also take out tailored covers to suit your individual needs.

The cover can also give you peace of mind and security knowing that those that depend on you will be financially taken care of. The cover will pay out a lump sum on the death of the policyholder up to the age of 75.

The pros and cons of getting Relevant Life Insurance

The pros of taking out Relevant Life insurance cover for freelancers:

  • A tax-free lump sum payment is given out.

  • It is tax-efficient as it counts as a business expense and is tax-deductible.

  • High maximum cover (up to £10 million).

  • If need be, the policy can be moved to another company or a personal name.

  • The policy must be written in a discretionary trust to ensure payment to family/dependants.

  • Insurer Support services such as Private GP Services and Second Medical Opinion are often included.

  • The premiums are paid monthly.

  • Guaranteed premiums.

  • Cover can be level or increasing.

  • Life change milestone events can allow for the cover to flex without additional underwriting.

  • Benefits usually free from inheritance tax.

The cons of taking out Relevant Life insurance cover for freelancers:

  • The cover stops after the policyholder reaches the age of 75.

  • It’s not possible to get a joint cover.

  • You can only get the cover if you are a UK resident and are an employee or the director of a UK business.

  • The cover is only suitable for limited company directors and employees. It is not available to those are operating as sole traders or partner companies.

Why apply through Free-Work with Freelancer Financials?

Here at Free-Work, we recognise the need to offer our members Independent Financial Advice tailored to freelancers. So, we have teamed up with Freelancer Financials to fulfil this need.

  • Freelancer Financials specialise in finding the right insurance to suit your individual needs as a Freelancer and aim to provide this essential cover for you at an affordable price.

  • The Advisers can recommend a variety of life cover policies which can be used in various ways to suit your needs.

  • Freelancer Financials are Independent Financial Advisers so they are able to search the whole of the market to find the best cover for your needs.

  • They only work with insurers that have a good history of paying claims and offer affordable cover for the duration of your time contracting.

Free-Work are not authorised to offer regulated insurance advice. Free-Work are introducers to Freelancer Financials.

Financial advice is given by Freelancer Financials, which is a trading name of Mortgage Quest Ltd and is regulated and authorised by the Financial Conduct Authority (FCA). FCA registration number 312484.

By filling in the form above you are agreeing for Freelancer Financials to contact you. For more information on how this data will be used, you can read Freelancer Financials Privacy Policy.

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