Relevant Life policies are single life death in service plans paid for by the employer on the life of an employee (this can include directors paying tax under PAYE).

Subject to the “wholly and exclusively rules” ‘relevant life policies’ are an allowable deduction for business against corporation tax, but they are not treated as a benefit in kind. This results in no national insurance liability for employer or employee and no income tax liability for the employee on the payments into or any sum assured paid out under the plan.