Running your own business comes with its own pressures – covering certain business expenses should you be unable to work doesn't have to be one of them.
What is Business Expenses insurance?
If you're self-employed or operate a small business, you'll be reimbursed for certain business expenses incurred while you're totally disabled, up to your monthly benefit amount for up to 12 months.
If there's more than one owner of the business, you'll receive your share of the covered business expenses.
- Receive a monthly benefit for up to a year for certain business expenses incurred while you’re totally disabled
- Choose a waiting period of 14 or 30 days
- Premiums are automatically waived while you’re receiving benefits
- Recurring disability benefit continues a previous claim with no new waiting periods if the same disability recurs
- Death benefit of up to $30,000 should you die while you hold this cover
How much insurance can you apply for?You can apply for Business Expenses insurance up to $60,000 per month.
What is a business expense?
The covered expenses are the reasonable and regular normal operating expenses of the business you own and manage, including:
- rent or mortgage payments
- property levies, rates and taxes
- equipment or vehicle lease costs
- electricity, heating and water costs
- cleaning and laundry costs
- depreciation on office equipment and premises that the business owns
- salaries of employees not generating business income
- costs of accounting services
- fees for memberships of professional associations
- business insurance premiums
- net cost of a locum (a person engaged to work in your business as a direct replacement for you).
You can choose to pay your premiums as:
- Stepped – as you get older, your insurance premium will vary each year and your benefits will remain the same
- Level – your insurance premium does not go up by age-related increases and your benefits will remain the same
Regardless of whether you choose stepped or level premiums, when you renew your insurance each year your premiums may vary due to rate increases, Consumer Price Index (CPI) increases, policy fee increases or if you add additional insurances to your policy.
Business Expenses insurance is available outside super only.
You can apply for the following option at an additional cost:
You'll receive a proportion of the covered expenses (up to a maximum of your monthly benefit) if you become partially disabled.
Do you need Business Expenses insurance?
You may want to consider Business Expenses insurance if you:
- have a business or are self-employed.