Contingent Liability Insurance


This product is taken out in the event of financing needed for the business. Contingent liability insurance refers to a policy taken out by a business on the life of a director or shareholder who stands surety for the debts of the business. The amount of cover taken out should be equal to the loan amount. 

Benefits of the Contingent Liability Insurance Policy

This business policy insures the life of the guarantor who has signed surety 

The amount of cover needs to be in line with the total debt 

The policy should include life cover and disability

Policy premiums are paid by the business

An agreement is entered into whereby the business undertakes to utilise the proceeds to settle the outstanding debts

The personal estate of the surety is absolved from any liability

Policy Features

The personal estate of the guarantor is released from any liability

The proceeds will pay out tax-free as the policy is made non-conforming (non-tax-deductible).

If the insured dies during the policy period, the cost of continuing with the business after his/her death is covered by the life insurance company 

How it Works

In the event of the guarantor dying or becoming disabled (depending on the original cover chosen) the debt will be paid in full by the proceeds received by the business from the insurance policy paid out.

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Our Partners

I.H.S. offers a variety of insurance-related services including:

Key Man Insurance Policies

This product is beneficial to individuals whose business would suffer if a Key Person associated with it were to die or be disabled and unable to continue as an employee of the company.

Buy-Sell Insurance Policies

This product enables business owners to protect themselves in the event of a change in ownership or partnership, as a result of the death, disability, or resignation of a shareholder.

Contingent Liability Policies

This product is purchased in the event of financing needed for the business. This could be as a result of expansion or purchasing of a large asset by the business. It could be also be necessary at the time of purchasing the entity.

What Our Clients Say About I.H.S

This is just a small sample of our clients’ testimonials! If you are interested in any of the business insurance packages that IHS offers, please contact us at 010 591 2492. 

I just wanted to give some feedback I received from one of our staff members. she was so happy she chatted to you and that you gave her such an awesome service. Thank you once again for all your assistance, I really appreciate it. Regards

Anastacia Hammers Cape Union Mart

I.H.S. has provided business insurance for me and my partner's stores. Brian was very friendly and helpful! The good thing about I.H.S. is that they are fast, efficient, and reliable - I can always count on them to get the job done. They handle all of our insurance needs, which means we don't have to worry about a thing!

Louise Roberts Fashion Designer and Store Owner

When I was looking for a business insurance broker to help me with my policy, I talked to several different firms. It quickly became clear that Brian at I.H.S. was the best choice. He has a huge amount of experience and knows what he is talking about - it's very easy to see why he is the best business insurance broker in South Africa.

Brent Boston Hypermarket Manager, Vereeniging

I have known Brian for a few years now and we have done business together. He is helpful and reliable and has never let me down when I needed his services. I highly recommend him and look forward to doing lots of business with him in the future!

Liza Business Owner, Boksburg

I.H.S. has been a lifesaver for my business! When no other insurance broker could help me, Brian was able to provide me with a comprehensive policy that fully protects my business. I have a strong piece of mind knowing that if something were to happen, the business will move into its next chapter.

Kathy Clothing Store Owner, Sandton

I have been doing business with I.H.S. for a long time now. Anytime I've had an issue or needed advice, Brian has always been there for me! It's comforting to know that they are just a phone call away when you have any insurance needs.

Tanya Business Owner, Randburg

If you are looking for business insurance, I can't recommend Brian at I.H.S. highly enough! He was able to help me find the best policy that suits all of my needs. Since then, it's been 5 years without any claims!

Rianne Van Wyk Business Owner, Johannesburg