Fact: Lumpy insurance premiums slow down cash flow.
Also fact: Pay lump sum of Premium for WorkCover by August 6, 2018 and you can save yourself thousands.
How can I ease the stress of capital-draining premium lump sums?
By financing insurance premiums using Insurance Premium Funding you’ll ease cash flow, and being able to access the full payment discounts you’ll actually save in the long run.
Let’s talk about Insurance Premium Funding.
Insurance Premium Funding makes it possible to access discounts and wrap all premiums into a simple monthly payment. Just think how a monthly payment could help your cash-flow situation, reducing the impact of those large, lumpy premiums!
How Insurance Premium Funding works
Insurance Premium Funding simplifies the whole process – especially for those multiple premiums – and, more importantly, frees up headspace to focus on more important matters, like growing a business!
It’s simple and without having to provide financials you can jump in straight away. The Premium Funding provider pays the annual premium upfront and you repay this as a loan over equal monthly instalments – typically 10 to 12 months.
And, for an added bonus: Interest paid on the loan may also be tax deductible.
What can I include in Insurance Premium Funding?
Many business-related insurance premiums are covered with Insurance Premium Finding, such as:
- Workcover Premiums
- General Business Insurance
- Public Liability
- Motor Fleets
- Professional Indemnity
- Even Motor Registration Fees and CTP Insurance
Example of savings made by financing a WorkSafe payment:
Initial Worksafe premium $70,335.00
Pay in full by August 8, 2018 and access a 5% discount of $3,516.75
New balance of your premium – $66,818.25
Finance for $66,818.25 requires monthly installments of – $6,872.26
(Based on 10 monthly installments).
Final total cost of finance – $68,802.60
Your total savings on WorkSafe Premium is $1,532.40
That’s right, just pay your full year's premium by 6 August 2018 and receive a 5% discount. Pay using Insurance Premium Funding and that 5% discount will cover the interest on your monthly payments while keeping your cash flow secure. It’s a win/win.
To qualify for the 5% discount you must:
- Pay any outstanding balance from 2017/18 (or previous years); and
- Pay the full 2018/19 premium (less the 5% discount) by 6 August 2018
What Security is required?
No additional security is required as the loan is secured by the policy secures the loan.
The time to act is now, and we can have that cash flowing freely again while renewing all of your business insurance at once.
If you would like more information about Insurance Premium Funding, or to obtain a quote, please give me a call on 0448 275 630.