There is a very common sales technique (scam) here for life insurance companies and medical benefit sellers and gym companies selling membership to their gyms - they will all correctly say you can get a tax deduction against company profits for the pemiums incurred and paid by your company which is technically correct - they won't actively flag up though that the benefit charge on you is likely matching (deemed income) and that the company also potentially has the sting in the tail that it will need to pay a class1a charge nearly of nearly 14% on benefit amount.
The named policy holder is understandable here, as they were only taken our 12 months ago with no health changes they would be unlikely to have moved too far in premium, but you still say it may in many cases still be a taxable benefit?
Lambs is 100% correct - however as Lambs is highlighting IF the new policy is a qualifying relevant life policy that meets the relevant criteria you may be ok - you should always be wary about being led up the garden path though by salespeople of IFA's without ensuring you you are getting the whole picture and that should default to asking (a) is the item likely to be taxable on me as an individual (b) are there active measures that need to be taken to claim relief and restrictions ref amounts paid (c) are payouts received tax free? (d) what active measures do i need to take in ensuring premiums are fully compliant and (e) who are payouts made to?
The final "con" here can sometimes be that if the company is a beneficiary and if claims tax deductions for premiums then payouts made to company could be subject to tax - this could negate the overall tax benefit or worse still leave you with a shortfall if you get unexpected tax bill on proceeds.
eg if company takes out key man insurance so that company receives money when you can't work - practicably speaking benefit may be minimal if if premiums get 19% tax relief but payout is taxed so you get 19% less payout after providing for tax !!
Here is a starter for 10 ref how complicated it gets with qualifying life policies which MAY at face value seem the the most tax efficient option if they presented as being the best option (which i suspect they are)