Business owners, so you think you’re insured properly: 5 things to check
Whoever said, “You can never have too much insurance” obviously never had to pay the premiums. Still, there’s no denying the fact you need it to protect your business and its assets.
So you probably have building and contents, public liability and public indemnity insurance. But what else should you get cover for? What else can you get cover for?
The answer to the first question really depends on the type of business you own. As for what you can get cover for, you may be surprised.
Here are five types of insurance every business should consider:
Business Interruption insurance
If there’s a fire at the premises, chances are your building and contents insurance will cover it. But while everything’s being rebuilt/repaired/replaced, you’re not making any money.
Business Interruption can cover you for loss of profit, ongoing staff costs and additional operating costs (e.g. temporarily relocating to another premises).
Goods in Transit insurance
You may have the stock you have on the premises insured, but what about the stock that’s in transit? Whether you’re buying it, selling it or just using it, your business could suffer if it’s lost or damaged.
With Goods in Transit insurance, you’re covered whether it’s coming or going by ship, air, post, rail or road.
Burglary insurance
While your contents insurance probably covers you against fire, flood, malicious damage and other perils, it may not cover you if your goods are stolen. And if your business involves a property you don’t always have attended, that could be a serious risk.
But with Burglary insurance, your goods are covered if they’re taken from your premises.
Product Liability insurance
No-one goes out of their way to sell a product that will harm people or property. But accidents can happen. There may be a glitch in production, or a misprint in the instruction manual, or the customer may have simply used your product the wrong way.
And that accident can result in legal action.
Product Liability insurance covers you against claims of injury, death or damage from goods you sell, supply, deliver, repair or service.
Employment Practices Liability insurance
While you’d never purposely upset your employees, there may come a time when they feel unhappy enough about their work situation to take legal action.
Employment Practices Liability insurance covers you for any damages or costs resulting from accusations of discrimination, unfair dismissal, harassment or other situations.
As you can see, when it comes to insuring your business you have a lot of options. A combination of bad luck and not being insured for one of the above scenarios could cost your business dearly.
It pays to sit down with a risk insurance advisor on a regular basis and review which insurances—the obvious and the not so obvious—you should consider. Even if you decide not to take out insurance in these additional areas of risk, an annual insurances review can make sure you’re neither under- nor over-insured.
This might save you money on premiums.
It will definitely add to your peace of mind.
Get in touch and we’ll make a time to sit down with you and review your business’ insurance needs.
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Buying and selling property rarely lines up perfectly. The logistics of it all can be incredibly stressful. If you’ve found the perfect next home but haven’t sold your current one yet, a bridging loan can make your move easier, without having to wait on your current property sale. What is a bridging loan? A bridging loan is a short-term loan that gives you the funds to buy a new property before your current property has sold. It’s designed to bridge the gap between buying and selling. These loans are generally interest-only and are typically offered for up to 12 months, giving you time to sell and settle on your current home while already owning the next one. When would I need a bridging loan? You might consider bridging finance if: You’ve found your next home but haven’t yet sold your current one. You want to avoid renting or moving twice between sales. You want more time to prepare your home for market to get the best sale price. You're building a new home while still living in your existing one. How does it work? Peak Debt: The lender combines your current mortgage, the cost of the new property (including stamp duty and legal fees), and any interest (if it’s being capitalised). This total is known as your Peak Debt. Interest Only: During the bridging period, you’ll typically pay interest only — or the interest may be capitalised (meaning it’s added to your loan rather than paid upfront). Sell Your Property: Once you sell your existing home, the sale proceeds are used to reduce your Peak Debt. End Debt: The remaining balance becomes your End Debt, which then continues as a standard mortgage. An example of a bridging loan. Your current home loan = $200,000 New home = $800,000 Total bridging loan (Peak Debt) = $1,000,000 After selling your home for $600,000, that amount is used to pay down your loan Remaining loan (End Debt) = $400,000 Things to consider. Like any major financial decision, it’s important to understand all the moving parts before you commit. Time pressure: You typically have 6–12 months to sell. If you don’t sell in time, the lender may step in to sell the property and/or charge default interest. This is an extra interest rate that a lender charges when you fail to meet your loan obligations — in this case, not selling your property within the agreed timeframe. Interest costs: If interest is capitalised, it means you're not making repayments during the loan period, so the interest gets added to the loan balance instead of being paid separately. This means your loan grows each month. Making even small repayments can help keep this under control. Equity & serviceability: Lenders will assess how much equity you have and whether you can manage the loan during the bridging period. Loan-to-value ratio: If your End Debt ends up being more than 80% of the new property’s value, you may have to pay Lenders Mortgage Insurance (LMI). Existing loan setup: If your current lender doesn’t offer bridging loans, refinancing may be required — sometimes triggering break fees if your existing loan is fixed. This means you may have to pay a penalty if you end a fixed-rate home loan early (before the agreed term is up). Is a bridging loan right for you? That’s the big question. Bridging finance can offer flexibility and peace of mind, helping you move forward with confidence rather than being held back by uncertain sale timing. But it’s not without risk or cost — so it’s vital to understand the structure, timeframe, and repayment expectations. If you’re considering your next property move and want tailored advice on whether bridging finance suits your situation, talk to the team at Ascent Property Co. or Ascent Accountants. We can also put you in touch with finance brokers to discuss what is best for you.
That work perk might be costing you more than you think… Fringe Benefits Tax (FBT) is charged at a whopping 47% — the same as the top personal tax rate. That means lower salary or fewer benefits. So, while salary packaging can save tax, in many cases it ends up costing you more.
If you’re expecting a higher income this financial year, now is the time to act. We’ve put together 9 Smart Tax Planning Tips that could save you thousands — but they only work before 30 June.
