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Hiscox key man insurance, what it really is
Searching for Hiscox key man insurance, or key man insurance Hiscox sells?
Does Hiscox do key man insurance at all?
It uses the name, but its own glossary calls key person insurance a variant of personal accident insurance (Hiscox ↗).
That is not the life policy most people mean by key person cover.
Here is what Hiscox publishes, how it differs, and the life insurers' alternatives.
Every claim here is our summary of a named external source, linked beside it. Sources change: check the wording at the link before you rely on it.
Hiscox
A personal accident variant
- What Hiscox calls it
- A variant of personal accident insurance (Hiscox ↗)
- Cover value
- £5,000 to £100,000 (Hiscox ↗)
- Weekly payments
- Up to £1,000 after two weeks off work (Hiscox ↗)
- Tax
- Not tax deductible, says Hiscox (Hiscox ↗)
- Life insurance
- None among the products on its UK site (Hiscox ↗)
Summarised from Hiscox's own documents. Check each at its link.
Does Hiscox do key man insurance?
Not as a life policy.
Hiscox uses the term, but its business insurance glossary defines key person insurance as a variant of personal accident insurance (Hiscox ↗).
So key man insurance from Hiscox means its personal accident cover, not the life policy most people mean by key person cover.
Key person insurance: “A variant of personal accident insurance, in which a lump sum is paid if someone who is vital to your business is unable to work as a result of illness or injury.”
Personal accident insurance: “Compensates your business if you or an employee suffers an injury that prevents you or them from working, either temporarily or permanently.”Source: (Hiscox ↗)
Hiscox's UK site lists business, landlords, home, event and private client insurance; we found no life insurance among them (Hiscox ↗).
What Hiscox key person cover actually includes
Hiscox's glossary points to personal accident insurance, and the table sets out what its personal accident page lists that cover paying for (Hiscox ↗).
The list is built around accidents and injuries: the glossary definition mentions illness, but the personal accident page does not list illness among the things it pays for.
Check the policy wording with Hiscox before you rely on the cover for illness.
The page also lists exclusions, among them extreme sports and flying as a pilot or aircrew (Hiscox ↗).
Hiscox vs traditional key person insurance
The two products answer different risks.
Hiscox's cover pays for accidents and injuries, up to £100,000 (Hiscox ↗).
A key person life policy pays if the person insured passes away: Legal & General includes terminal illness, and critical illness if it is chosen at the outset for an extra cost (Legal & General ↗).
The amounts differ too.
Legal & General gives up to £10 million of key person life cover, subject to underwriting (Legal & General ↗), and its adviser guide says cover can often be up to 10 times the key person's earnings for life cover (Legal & General ↗).
Tax differs.
Hiscox says its personal accident insurance is not tax deductible (Hiscox ↗).
For key person life cover, HMRC allows a deduction only if the sole purpose is meeting a loss of trading income (HMRC ↗)and the policy is term insurance with no other benefits (HMRC ↗).
Legal & General is shown as one published example of a key person life policy, not a recommendation.
Key man insurance: Hiscox, or a life insurer?
Start from the risk, as the table does.
Hiscox's personal accident cover pays for accidents and injuries (Hiscox ↗).
Key person life insurance is a life policy the employer owns, so any payout goes to the business (Legal & General ↗).
What each publisher says its cover does. We do not say which a business should buy.
Hiscox vs Aviva for business protection
People comparing Hiscox with Aviva are usually comparing two different products, set out in the table.
Aviva's Business Life Insurance Options policy takes life cover up to age 77 (Aviva ↗).
We do not say which a business should buy; an FCA-authorised adviser can tell you what suits your circumstances.
If the risk is illness
Legal & General and Royal London both publish Key Person Income Protection, which pays the business a monthly benefit while the key person cannot work (Legal & General ↗) (Royal London ↗); life insurers can also add critical illness cover, as the table above shows.
Questions to put to Hiscox or an adviser
- Does the policy pay if the key person cannot work because of illness, not an accident?
- Is the lump sum enough to cover the profit the business would lose?
- Do we also need key person life cover, which is not limited to accidents?
- How will the premiums and any payout be taxed for our business?
Compare your key person insurance options
Each page below sets out what one insurer publishes about its own key person cover, with a source beside every figure.
We do not rate or rank insurers.
The comparison puts the published terms side by side.
- Life, or life and critical illness
Aviva
Aviva key person insurance → - Life, critical illness, income protection
Legal & General
Legal & General key person insurance → - Life, critical illness, income protection
Royal London
Royal London key person insurance → - Life, critical illness, or both
Zurich
Zurich key person insurance → - Life, critical illness, loan cover
Scottish Widows
Scottish Widows key person insurance → - Life, optional critical illness
LV=
LV= key person insurance → - Through financial advisers
Vitality
Vitality key person insurance → - Now with Aviva
AIG Life
AIG Life key person insurance → - Closed to new individual cover
Canada Life
Canada Life key person insurance →
Check it for yourself
Every claim on this page is our summary of one of the documents listed here.
We last checked them against the live sources on 28 September 2026.
The documents are the authority, not this page.
Insurers and HMRC update them, so validate any figure or condition at its link before you rely on it.
- Hiscox business insurance glossary ↗Key person insurance: a variant of personal accident insurance
- Hiscox personal accident insurance ↗What it pays, cover values, weekly payments, tax, online quote
- Hiscox UK home page ↗The insurance it lists: business, landlords, home, event, private client
- Legal & General Key Person Protection ↗A life policy owned by and paying the employer; terminal and critical illness
- Legal & General key person (adviser) ↗Maximum key person life cover
- Legal & General adviser guide ↗Sizing cover as a multiple of earnings
- HMRC Business Income Manual, BIM45525 ↗Key person cover and the conditions for a deduction
- Aviva business life insurance options (adviser) ↗Cover, who can buy it, free cover while underwriting
- Aviva Business Life Insurance Options policy summary (AL15005) ↗Entry ages
- ABI Guide to Minimum Standards for Critical Illness Cover ↗Cancer, heart attack and stroke
- Legal & General Key Person Income Protection ↗A monthly benefit paid to the business
- Royal London business protection guide ↗Key Person Income Protection limits
- FCA Firm Checker ↗Check a firm is authorised before you buy
Hiscox key man insurance, answered
Not financial advice. This page is general information. Before buying insurance, the FCA tells consumers to check the firm on its Firm Checker (FCA ↗). For free guidance, see MoneyHelper.