Partnership protection insurance

• General Partnership (ANS)
• General partnership with shared liability (DA)

If you’re going to join a partnership to set up a company, it’s a good idea to clarify the framework for this.

For example, the agreement can regulate:

• who will be the managing director;
• whether there will be joint and several liability for all participants in the company;
• which salaries will be paid to the partners.

If one of the partners dies and the effects are not regulated by the partnership protection agreement, not being insured can have major consequences.

• Heirs take over by virtue of their right of inheritance
• The takeover not only gives ownership rights, but the heirs also become jointly responsible for the daily operations. Do they have the skills to take on the deceased’s role?
• If the heirs are minors, the county governor will step in on behalf of the heirs

Should one or more of the parties suddenly no longer be able to work, the remaining partners could face major challenges.

• The partner who is incapacitated for work cannot continue to play an active role in the business and its value creation.
• The partner who is incapacitated for work may have other priorities than actively participating in the company