Working for yourself or running a business is great. But all businesses have their own set of risks. So whether you run a hipster-friendly cafe, an underwater pizza delivery service or you're a one-man/woman-band, there are a few things to consider covering:
New Zealand has the highest number of small businesses in the world per capita. Pretty amazing right? At the same time, we are one of the most under-insured countries in the world. Many people in New Zealand rely on ACC for their income protection cover so it is really important they get it right.
If you’re self employed, you have the option to change your ACC plan to Cover Plus Extra. With this plan you agree a level of cover with ACC which makes claiming easier because you don’t have to prove income at the time of making a claim.
Many business owners get paid today for the work they conducted a month ago, so in this case their ACC claim would actually be offset with that income coming into the company.
Cover Plus Extra avoids this issue because the amount of cover has been agreed prior to the accident occurring so the business owner will only need to prove they were unable to work for 10 hours per week.
With Cover Plus Extra, business owners can opt for a low level of ACC Cover. By doing so, their total levy will be less but their level of cover will be low should they need to claim.
To speak to one of our insurance advisers and find out more, get in touch today.
You know who the key people in your business are, so it’s essential to think about how things would go if they were unable to carry on doing their job.
How would the business cope if your star employee was off work long term or, we hate to say it, passed away? Say you have a specialist salesman with important contacts and for whatever reason they're no longer able to work, it's crucial to think about what effect that could have, and what it might do to the value of the business.
Key person covers the business in either lump sum or monthly payments if a valued employee was no longer able to work.
It can also provide money to get a manager in to prepare the business for sale. This can stop the value of the company decreasing rapidly once a key person is no longer able to be there.
These are to protect you from gaining an unwanted business partner, in the event that something should happen to another shareholder. It’s a bit morbid to think about, but if another shareholder passed away would you want to then be in business with their wife, their smarmy son, or their lawyer?
If something happened to another shareholder and you didn't have the funds to pay out their share, you could end up in a sticky situation. What if the company has debt like a big mortgage, would you want that paid off?
When you have a shareholder agreement in place, the insurance will pay out the family of the deceased shareholder to the value of their shareholding; for example, if the shareholder has a 50% share in the business and the business is valued at $1,000,000 the family will be paid out $500,000 and the remaining shareholder will receive the 50%.
This way the other shareholders and the family of the deceased shareholder are treated fairly, and the business can carry on being run by those who are invested.
At the end of the day, insurance is about the price and the policy wording. What matters most is that you can successfully claim against the policy should something go wrong and our advisers will help you every step of the way. You can contact them here.
Whether you're a farmer, a tradie, a supermarket trolley repairer or something in between, we've got the right insurance product to get you covered.
What we can offer:
We can help you get started, so get in touch with one of the team today.
The more you know, the better business decisions you can make. Luckily we like to put pen to paper every now and then and share our knowledge, advice and thoughts.All articles
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As well as arranging your insurance, we're also here for you if the time comes to make a claim.
To keep the process simple for you, all you need to do is get in touch with us, let us know what's happened and we'll go in to bat for you and make sure you get everything you're entitled to.