Insurance is often a must-have when you’re running your own show. Whatever the nature of your enterprise, insurance is there to help you bounce back after an accident or incident. Understanding the insurance trends that are affecting the market can help you with your broker select the type and level of cover that’s right for your small business.
QIB Group CEO Tim Mathieson outlines some of the insurance trends you need to be across in 2025.
Australia is known as the land of fire and flooding rain. The increasing frequency and severity of natural disasters is prompting small businesses to review their climate risk related policies and, in many instances, extend their cover. That can be an expensive affair, which is why many owners are mitigating the cost of by opting for higher excesses on their various policies.
“If affordability is a challenge, this approach can help you manage the impost while remaining covered for existing and new risks,” Mathieson says.
While they may not result in actual property damage, cyber events can be every bit as disruptive and expensive as natural disasters.
The average cost of a small business cyber-crime incident is now $49,600, according to the Australian Signals Directorate’s Annual Cyber Threat Report 2023-2024. And the risk of falling victim has never been higher.
Business owners have become alive to the threat and are increasingly willing to mitigate it with cyber insurance cover.
“Traditionally this cohort would be more concerned about the threat of a fire insurance claim to their property, but they now perceive cyber-crime as a far more likely occurrence,” Mathieson says.
Climate change is making it harder for small businesses situated in high-risk areas to gain access to cost effective cover, with those in parts of northern Australia particularly hard hit.
Banding together to seek better prices and conditions can help them gain access to the protection they require.
“Expect to see more businesses looking for alternative ways to manage this risk,” Mathieson predicts.
No two small businesses are the same and nor are their respective risk profiles. An experienced insurance broker can help you identify the vulnerabilities and emerging risks yours faces.
“It’s crucial to stay informed and to work with a professional to develop tailored risk management solutions beyond just insurance,” Mathieson says.
Drawing on the expertise of a broker who is familiar with your industry can help you get a handle on your evolving risk profile, and a growing number of Australian SMEs are seeking out this specialist assistance.
“Find someone who specialises in your industry or occupation and who can understand what you’re up to from day to day in your business,” Mathieson advises.
The right insurance cover can help to protect your small business from a range of adverse incidents and events. A broker can help you determine what type and level of cover will best meet your needs. If you’d like to review your current policies or chat about your requirements, contact your AIB broker today.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
The bushfires currently raging in LA are a stark reminder of the risks that we also face in Australia. A wetter than average summer can lead to a higher risk of bushfires in the drier period due to the increased vegetation growth. In our recent blog, Disaster Preparedness For Businesses, we highlighted the measures you can take to prepare and deal with a natural disaster. But there are steps you can take now to ensure peace of mind that your business is well insured when the fire risk is high.
Bushfires can flare up at any time of year in Australia. While the dry season, which is usually Winter and Spring, is generally peak bushfire season in the Northern half of the country, in the Southern states, Summer and Autumn can pose the biggest threat. Australia’s hot, dry climate makes it one of the most bushfire-prone regions in the world. For businesses, this natural hazard poses significant risks, from property damage to prolonged operational disruptions. Taking out adequate insurance is not just a precaution; it’s a crucial investment in the resilience of your business.
Research shows that bushfire risks are rising across Australia, especially in coastal WA, central Queensland and in large parts of NSW, Victoria and the ACT. Bushfires can spread with little warning and can be unpredictable, with the potential to cause damage due to smoke or water as well as the fire itself. Even businesses outside of the fire zones can feel the impact of bushfires, with supply chain disruption affecting their ability to access goods and demand surge increasing the difficulty of accessing some services.
Bushfires can devastate businesses by causing:
With bushfires becoming more frequent and severe, ensuring your business is prepared is vital.
While you can’t control the weather, insurance can help to protect small businesses across Australia from the risks bushfires pose to both their premises and trading. Contrary to popular belief, bushfires are not just a threat facing rural businesses. Thanks to the urban sprawl of our cities, outer metropolitan suburbs are meeting the bush and increasing the risk to more businesses Australia-wide.
While all businesses should evaluate their risk exposure, bushfire insurance is particularly important for:
Having adequate business insurance can give you peace of mind that if a natural disaster, such as a bushfire, impacts your business, you are well positioned to recover more quickly.
The types of business insurance you should consider include:
Property insurance covers damage to your business premises, equipment, and stock caused by fire.
Business Interruption Insurance protects against income loss during and after a bushfire.
Ensures your business’s furniture, equipment, and other contents are covered.
If your business relies on vehicles, commercial motor insurance is essential.
Liability insurance protects against claims if a bushfire originating on your property causes damage to neighbouring properties or injuries.
When evaluating your options, consider the following steps:
Business Pack Insurance can cover a number of these areas in one easy-to-manage policy.
Don’t wait until the threat of bushfires is higher, contact an AIB broker today for a review of your current policies. Contact us today for expert advice and tailored policies to protect your business against bushfires, motor vehicle damage and other natural hazards.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
The Christmas shutdown period can be a time of relaxation and celebration, but for business owners, it’s essential to take proactive steps to safeguard both property and employees during this downtime. Ensuring that your business is secure and adequately prepared not only minimises risks but also provides peace of mind throughout the festive season. Here are some simple steps you can take to help protect you business while you take your well-earned break.
One of the most significant vulnerabilities during the Christmas shutdown period is the physical security of your premises and stock. To protect your business effectively, consider these steps:
Employee well-being is a priority, even during a shutdown. Clear communication and emergency planning are crucial.
Having comprehensive insurance in place is one of the most effective ways to protect your business during the Christmas shutdown period. Make sure your policies are up-to-date and provide adequate coverage:
Contact your AIB insurance broker to review your policies and ensure there are no gaps in your coverage. The right insurance provides not only financial protection but also reassurance during this vulnerable time.
Failing to protect your business during the Christmas shutdown period can lead to costly disruptions, theft, or damage. A little preparation goes a long way in preventing problems and ensuring you return to business in the New Year without unwanted surprises.
With the right planning, security measures, and insurance coverage, you can enjoy the festive season knowing your business is well-protected. If you’re unsure about your current policies or want advice tailored to your business, contact AIB Insurance Brokers today. We’ll help you ensure your business is secure and fully covered, no matter the time of year.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
In July 2024, global cybersecurity company CrowdStrike brought the internet to its knees, with a glitch in its software update that caused widespread system crashes with computers running Windows operating systems. One source suggests the total cost of the outage could run to more than $1 billion.
So what lessons in cybersecurity incident response planning can we take away from this?
The glitch had severe consequences for many small businesses, disrupting daily operations, making it difficult to serve customers and process payments. Problems such as these can be compounded in small businesses, which often have limited IT resources, making diagnosing and fixing the problem a real challenge.
For small businesses, this is a wake-up call to ensure they have the right processes in place to get back up and running if and when the next CrowdStrike cybersecurity event occurs. Here are some steps to assist in being prepared for next time.
Test any software updates in a controlled environment. This may help catch potential issues without disrupting your daily operations. Think of it as a dress rehearsal to ensure everything runs smoothly when the next IT incident happens.
Always back up your critical data and systems. It’s essential to have online backups for quick recovery as well as offline backups in case the online backups fail. This helps reduce the risk of losing important information if something goes wrong during an update.
This includes providing information about potential downtime. You should also consider setting up alternative ways to stay in touch, so your business can keep moving even if the main systems are temporarily down.
This could mean using secondary servers or cloud services that can take over if your primary systems fail. It’s like having a spare tyre ready to go.
When you do experience a major outage, the first step is to promptly activate your cybersecurity incident response plan, if you don’t have one you consider creating one. This means ensuring all team members know their roles and how to follow established protocols to effectively assess and manage the situation.
Quickly determine the extent and severity of the issue, prioritising how to restore critical systems first. If a recent update has caused significant problems, consider rolling back to the latest backup, confirming it was made before the update.
Contact your IT support team or software representatives for expert assistance in diagnosing and resolving the issue as soon as you can.
Throughout the incident, stay in touch with staff and customers, keeping them informed about the situation, expected resolution time and any temporary measures in place. This builds trust and helps you navigate challenges efficiently.
Once you’re back up and running after a major IT incident, it’s important to take stock and work out what you can do better next time.
Regularly check your systems for vulnerabilities and keep them updated with the latest security patches. Where possible, switch to cloud-based solutions for critical operations. Cloud services may offer better reliability and built-in backups, reducing the impact of local outages.
Then, set up tools that monitor your network and systems in real time, alerting you to potential issues before they become big problems. Also regularly review and update your security policies to stay ahead of new threats and technologies. Keeping your defence strategies up to date can assist in minimising risks.
It’s also important to consider having comprehensive cybersecurity insurance policies in place so that in the event of a major cyber threat, your business has access to good-quality protection.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
The past few years of natural disasters, from bushfires to floods, have reminded many business owners about the importance of business continuity insurance.
It’s been the difference between keeping their doors open or closing shop for good for some businesses. Business continuity insurance, also known as business interruption insurance or BI insurance, allows businesses to maintain their cash flow and pay regular outgoings such as rent and wages.
We’ll delve into who needs BI insurance, what it covers and how it works.
Business continuity insurance can cover the loss of any sales you would have made while your business is out of action – plus any extra costs you incur to stay open.
It can also cover:
Under a business continuity policy, businesses that suffer an insurable event may also be able to claim for loss of income.
It can also cover loss due to:
“Business interruption insurance can cover the loss of any sales you would have made while your business is out of action”
When considering this insurance, you may come across the terms ‘indemnity period’. This is the maximum period that you can claim for subject to being able to prove the loss and other terms and exclusions of the policy.
An insurance broker can help you find various insurance options based on your specific needs.
The time you need for recovery will depend on a number of factors.
For example, if your business is built on a critical piece of equipment, you should consider how long it would take to replace it, particularly if it’s manufactured overseas.
Business Interruption insurance cover isn’t just important for closures following damage to your business or its equipment.
Steadfast Broker Technical Manager Michael White says some of the most common claims during the 2019/2020 bushfires were business interruption claims due to prevention of access.
“For example, there were a number of roadblocks during these bushfires, which could prevent a café or store owner from accessing and running their business,” Mr White says.
“With the right cover, a business owner can be reimbursed for the revenue they lost while they were unable to access and open their premises to customers.”
It’s risky to guess the right insurance cover for your business. An insurance broker can provide guidance and advice based on your specific business risks.
Contact an AIB broker today for your peace of mind.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
A huge number of the more than 2.5 million businesses operating in Australia start life at home. One statistic indicates more than half (51 per cent) of small businesses are born at home. But working from home doesn’t mean you shouldn’t consider home business insurance.
Running a business from home can give you a huge amount of freedom. It can be a great way to balance work and family life. It can also be a stepping stone as you transition from working full time for someone else into running your own venture. And it can be a fantastic way to start that side hustle you have always dreamed of running.
Operating a business from home brings a unique set of challenges, particularly when it comes to insurance. Many entrepreneurs assume their standard home insurance policy will cover their home-based business, but this may not be the case. Understanding the specific insurance needs when starting a business and specifically for home-based businesses is crucial to help protect your venture from unexpected risks.
The first step is to explore the cover your existing home and contents policy may offer your business.
A typical home and contents insurance policy covers property, liability and the structure of your home. It’s designed to help protect against the impact of common perils like fire, theft and natural disasters. But, it may not extend to business-related activities or equipment.
Home insurance policies often have limitations and exclusions for business activities. For example, if you use part of your home for business, your policy may have coverage limits on business property. Also, liability coverage may not apply to business visitors or clients. These limitations can leave significant gaps in protection for home-based entrepreneurs, leaving your small business under-insured.
If your existing home and contents policy doesn’t cover your business, you may need to explore other insurance options.
A business pack insurance policy designed for home-based businesses typically includes a range of insurances to protect against various risks.
As your business grows and evolves, so do your insurance needs, so it’s important to regularly review and update your cover to ensure it remains adequate. Changes in business operations, buying new equipment or an increase in client interactions can all impact your insurance requirements.
Operating a home-based business can offer many advantages, but it can also require a careful consideration of your insurance needs. Standard home insurance policies often fall short in covering business activities and assets. Exploring additional insurance options may safeguard your business against potential risks. Talk to an AIB broker today about whether your home-based business can be protected.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
Summer in Australia brings with it a whole range of weather-related risks. Bushfires, severe storms, cyclones and floods are unfortunately all part of living in this beautiful country. The Australian Actuaries Climate Index (AACI) indicates that weather which we would have previously considered to be extreme is now actually considered ‘normal’ relative to recent years. Disaster preparedness is essential for businesses operating in Australia to minimise the financial impacts and get you back up and running as quickly as possible.
In terms of the current levels of risk, the Bureau of Meteorology has predicted above average rainfall for eastern and central Australia and the National Council for Fire And Emergency Services (AFAC) has said that the Seasonal Bushfire Outlook shows increased risk of fire for large areas in NT and Queensland, as well as far west and southwestern Victoria, and the southeast corner of SA.
Being aware of the risk in your area is the first step to helping you plan effectively. The effects of extreme weather can be devastating for small businesses that have their operations disrupted or their assets damaged or destroyed but there are things you can do now to prepare your home and your business.
Make sure your business is ready to deal with extreme weather or a natural disaster by preparing a business contingency plan. This will help minimise the financial impact and ensure business continuity, helping you get back up and running as quickly as possible.
Create a detailed emergency plan tailored to the threat of bushfires and floods. This plan should outline evacuation procedures, communication protocols, designated assembly points and responsibilities for each employee during an emergency.
Review your current business insurance policies to ensure they provide adequate coverage for potential damages caused by weather events. Speak with an AIB insurance broker, who can discuss your options and the best cover for your specific business needs.
Protect crucial business data and documents by regularly backing them up and storing them off-site or on secure cloud-based platforms. This will minimise the risk of data loss during extreme weather events.
Hold regular training sessions to educate employees about the emergency plan and the steps they should take during bushfires or floods.
Regularly maintain any garden around your business premises, trim trees and remove dry foliage. Similarly, ensure proper drainage to prevent flooding.
Make sure you have access to multiple communication channels to stay up to date on weather and evacuation orders. Use social media, emergency alert systems and reliable news sources so you know what’s happening, as it happens.
Create a business continuity plan that outlines the steps to follow to resume operations after a disaster. This plan should address immediate recovery needs, temporary business relocation and any potential supply chain disruptions.
Organise periodic drills to test the effectiveness of your emergency plan. Identify areas for improvement and make necessary adjustments based on the outcomes of these exercises.
If your business is unfortunate to be impacted by a natural disaster, here’s a guide on what to do to help with your recovery.
Insurance is there to help your business recover from adverse events, including damage and disruption caused by natural disasters. Having the right level of cover means you won’t be significantly out of pocket, in the event of a claim.
An AIB insurance broker can provide expert advice and ensure you get the right cover for your business needs. Experienced brokers have strong relationships with various insurers and can help businesses get the right cover at the right price. Their advice means you don’t have to guess what will work with you and hope for the best.
Brokers can also help review a business’ existing policies and procedures and suggest ways to potentially reduce your insurance costs. This could include adjusting a business’ claims excess or suggesting ways to reduce risk, which insurers can look at more favourably.
If you have to make a claim, brokers can also help you with the claims process, which can be difficult to navigate. This help is especially important following a major disaster when insurers are inundated with claims and outcomes may take longer.
A disaster can be one of the most stressful events you go through as a business owner and a good broker can help ease that.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
More than half (53.3%) of all Australian small businesses expect to grow in 2024, according to research released by accounting body CPA Australia. This is great news for the many dynamic entrepreneurs running these exciting ventures.
As your business grows and evolves, so could your insurance needs. Expanding your business, whether by increasing the scope of your operations, hiring more employees or opening a new location, may require careful consideration of your insurance coverage.
Ensuring you have the right insurance policies in place is crucial, even for home businesses, to help protect your growing investment and mitigating potential risks.
1. Review current policies
The first step in ensuring adequate coverage when your business is growing is to review your existing insurance policies.
The idea is to look into your current general liability, property and business interruption insurance policies to determine if they still meet your business’s needs. Expansion can often increase exposure to risks, so your existing coverage limits may no longer be sufficient.
2. Identify new risks
Growing your enterprise could introduce new risks your current policies may not cover. For example, opening a new location may expose you to different environmental hazards, customer demographics or regulatory requirements. Identifying these new risks would help you to work out the extra cover you need to protect your business.
3. Update your insurance
As your business expands, it’s often crucial to fortify it with the right insurance policies.
What’s important is to tailor your insurance strategy to your expanding business needs, so you can navigate your growth journey with confidence.
It’s easy to let your insurance requirements fall down your to-do list when you’re expanding. But this can increase your business risks at a time when you need to be working on the business rather than managing a claim.
As your business continues to grow, regularly reviewing and updating your insurance policies is essential. So make it a priority to do a yearly insurance audit to assess your coverage needs and make adjustments to your policies as necessary.
An experienced insurance broker can give you valuable guidance as you navigate the complexities of expanding your business, helping you to identify coverage gaps, recommend appropriate policies and negotiate competitive rates.
Talk to an AIB insurance broker today to ensure you have a comprehensive insurance strategy that aligns with your business goals.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677 and Steadfast Network Brokers
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
You may be paying for insurance, but if you’re underinsured, you could be taking a big risk.
In the case of a disaster, you might have to pay the balance between the amount insured and the actual costs. For example, if the cost of replacing your building and contents is $4 million but they are insured for $3 million. In this scenario, if the building were destroyed by fire, you could be $1 million out of pocket.
Even if the cost to repair the damage is less than $3 million, your claim may not be fully reimbursed.
“Many insurance policies include a co-insurance clause,” says Michael White, Broker Technical Manager for Steadfast Group.
“This is triggered if you’re insured for less than the full value of the property. In very broad terms, it reduces the amount of the claim by the percentage by which you’re underinsured.”
So, with the example above, if the damage amounts to $2 million, you may not be reimbursed for the full cost of repairs.
To find out whether you have adequate cover, you can check your policy limit, which is the amount you’re covered for.
You can then compare this with the replacement cost of your building or other asset.
The Insurance Council of Australia provides free online calculators that may give you an idea of the replacement value of your property.
“These are just a guide, particularly if your building has any unusual features. A valuer will provide a much more accurate assessment of the value of your building and any other assets such as machinery covered by your policy,” White says.
You can also use AIB’s free online insurance quiz to see if you need to update your policy and we offer a free policy review tool too.
Your AIB insurance broker can help you to identify everything your business depends on to operate and assist you to find the most appropriate cover.
“Every business is different, and your insurance should be tailored to your needs,” says White. “You need to be sure you’re not left vulnerable in certain areas or paying for cover you don’t need.”
Once you’re fully covered it’s often vital you review your insurance every year.
“Your business is evolving, and replacement costs are changing all the time,” says White. “For instance, a piece of machinery you bought four or five years ago might cost a lot more to replace than you paid, and your insurance needs to reflect that.”
Many small businesses are underinsured by accident. You may have misunderstood what’s needed, miscalculated the value of your assets, or underestimated how much your business has grown.
Or perhaps you’ve simply been so busy that checking your insurance cover slipped down your list of priorities.
It’s understandable, but it could also be disastrous if you don’t realise you’re underinsured until you make a claim.
The risk is you could lose everything you’ve worked so hard for, including your business. For peace of mind, talk to your AIB broker about the best way to ensure you are not underinsured.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677 and Steadfast Network Brokers
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
When you’re working in the gig economy you have the flexibility to choose the days and hours you work. There’s also a wide range of jobs on offer, from driving for a rideshare service, delivering food or providing household services, to working from home as a freelance consultant. But gig economy insurance protection is still a vital consideration.
“Some people work a few hours a week to earn extra cash while, for others, it’s their full-time occupation,” says Michael White, Broker Technical Manager at Steadfast Group. “Either way, as you’re self-employed, you’ll probably be responsible for most or all of your insurance cover.”
For your own safety, it’s vital that you understand the risks you face and make sure you have the right protection. Here’s some key points you should know to help you reduce your financial risk.
These are the types of cover most likely to apply to you as a gig worker. The ones you need will depend on the type of work you do.
Public liability insurance can cover the financial cost of damage or harm you do to a person or someone else’s property.
“If you’re a cleaner, for example, you might break a valuable vase or, worst case scenario, accidentally set the house on fire,” says White.
Professional indemnity insurance is often important if you’re paid for advice. You could be open to a claim of negligence if a client believes that following your advice financially damaged their business.
Vehicle insurance can pay out if the vehicle you use for work is damaged or involved in an accident. When the gig economy was still relatively new, regular car insurance policies didn’t provide cover for the driving you did for business. However, many providers now include, or give you the option of adding, this level of protection – your product disclosure statement will have details.
Tools of trade insurance can help you to replace tools, equipment, and other business-related property if it’s damaged, lost or stolen.
Business interruption insurance may cover loss of turnover as a result of physical damage to the building from which you operate, as well as other specified events.
Workers’ compensation can help support workers who are injured at work. All employers must have workers’ compensation insurance for their workers but, as a gig worker, you may be classed as an independent contractor rather than an employee. Ask you your platform owner where you stand in regard to eligibility for status as an employee.
Insurers are starting to recognise the importance of the gig economy and we’re seeing more products tailored to its needs. Remember that, even in specialised areas, the cost, coverage and exclusions can vary widely. Compare quotes from a number of reputable insurance companies which have good customer reviews and a strong financial rating before you decide.
If you’re not sure, get help.
Insurance can be confusing. As a gig worker, you have a lot to think about when you’re looking for protection you can afford.
Your AIB insurance broker can recommend the right policies for peace of mind and financial security.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677 and Steadfast Network Brokers
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
Information is current as at the date the article is written as specified within it but is subject to change. Steadfast Group Ltd and Steadfast Network Brokers make no representation as to the accuracy or completeness of the information. Various third parties have contributed to the production of this content. All information is subject to copyright and may not be reproduced without the prior written consent of Steadfast Group Limited.
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