Can I use term assurance for key person protection?

Some companies rely heavily for success on a few key people within an organisation, such as a sales director.  Indeed, if one of these people were to die or suffer a critical illness or an incapacity, the company could suffer badly, with sales and profits falling.  However, the company can arrange a policy on the life of a key person.  This means that if the key person died during the term of the policy, the company would receive the sum assured.  This could be payable in a lump sum or capital instalments over two, three or five years and could be used to help the business to recover.  The company owns the policy and pays the premiums which, under certain circumstances, can gain corporation tax relief.