As a business owner, you know that being able to always meet your running costs is crucial. However, if you were unable to work, would you be able to pay essential business expenses, such as business premises, rent, or electricity? Business expenses cover helps to keep your business running. It can help financially cover the basic fixed running costs of your business, if you’re unable to work due to illness or injury.
This might suit you if…
- you’re a business owner or partner
- you’d like financial assistance to help cover the basic fixed running costs of your business if you’re unable to work due to a total disability
- you want to ensure regular trading of your business, even if you can’t work.
Here’s what you get:
In the event of total disability, the lesser of:
- the agreed amount, or
- cover for eligible business expenses, such as rent and utilities, or
- cover for the cost of hiring a temporary replacement for you in your business while you’re unable to work.
Get a tailored business insurance quote
Talking to an Adviser is the best way to discuss your individual business requirements. They’ll be able to advise on the most appropriate protection for you and tailor your cover to your budget and needs.
How much does it cost?Show more
How much your cover costs depends on a number of factors, including:
- your age
- smoking status
- health and family medical history
- level of cover.
To get a quote, speak to an Adviser who can take your specific objectives, financial situation and needs into consideration.
Why you need cover
Including business expenses cover in your overall business plan can help give you peace of mind knowing that some of your business costs can be covered, if you’re unable to work due to illness or injury.
To understand the need for business expenses cover, ask yourself the following questions:
- What would happen to your business if you were unable to work?
- How would you pay essential business expenses, such as rent or salary?
- Can you afford to hire a temporary replacement?
Business expenses cover provides some financial security that your business will continue to run, even if you can’t work due to illness or injury.
What it can be used for
In the event of total disability, business expenses cover pays eligible running costs of your business, which may include:
- office rent
- regular instalments on your business mortgage or business loan
- employees’ salaries and costs directly related to salaries (except your own and any income producing employees)
- business property rates and taxes, or
- temporary replacement to perform your normal duties.
Additional benefitsShow more
Business expenses cover is customisable to meet a range of needs and possible scenarios. It includes:
- Total disability benefit – which covers you if, due to sickness or injury, you’re unable to work for more than 10 hours a week in your usual occupation; you’re not engaged in any other occupation; and you’re under the continuous direction of a medical practitioner.
- Partial disability benefit – If your recovery is long and there will be a gradual return to work, you may be eligible for a partial benefit. This is related to the number of hours you work.
- Recurring disability benefit – If you start to recover from your disability but then suffer a relapse within a certain timeframe, we can recommence payment of your total disability benefit without a qualifying period.1
- Death benefit – a lump sum equal to 10 weeks of the total disability benefit can be paid to your estate should you die while you are covered.
- Suspension of cover benefit – you can choose to suspend your premiums and cover for up to 12 months in certain circumstances.2
- Choose your qualifying period – choose from a two or four-week qualifying period (period that must expire before payment commences). The longer your qualifying period, the lower the premium.
- Choose your benefit period – choose from a 26 or 52-week benefit period. The shorter your benefit period, the lower the premium.
Apply for business expenses cover
If you want to protect your business against the unexpected with business expenses cover, it’s good to talk to an Adviser. They can talk you through your personalised options and help you decide which suits you and your business best.
Important informationShow more
1 This benefit can restart if after having been totally disabled, you return to work and while cover is in force you again become totally disabled solely from the same or related causes within 52 weeks of our last payment to you under the cover. Any benefit payable will be treated as an extension of the original claim and be limited to the benefit period (your periods of disability will be aggregated for this purpose).
2 You can suspend your premium if:
- you cease work, or
- you go on parental leave, sabbatical leave, study leave or leave without pay, and you notify us in writing within three months from the cessation of work and we acknowledge receipt of that notification.
If you want to resume cover, you must return to work within 12 months of ceasing work for at least 25 hours per week and within 3 months of returning to work you must request reinstatement of cover and pay the requisite premium.