Australia is experiencing increasing
skill shortages, with trade occupations' notching the highest demand, according
to the National Skills Commission's latest
annual report. There are a whopping 65 trades listed on its Skills Priority List.
Chances are your tradie business has been
run off its feet in your quest to meet demand.
When's the last time you reviewed your
insurance policies to make sure you've got the appropriate cover and are saving
as much as possible? Here are some prompts to get you on the right track, and
it's not just about going for the lowest quote.
Pay yearly instead of monthly
Paying your premiums annually rather than
monthly usually helps you save. As well, insurance companies give notice of
increases, so it makes sense to pay the yearly amount just before that higher
fee kicks in.
If annual payments don't suit you, try
half-yearly. Typically, you'll save up to 4% paying every six months, and up to
8% for an annual payment. For commercial or business insurance, you can also
choose to take advantage of premium funding. This means your business can pay
your insurance premiums in easy to manage monthly instalments.
Choose a package over individual policies
As a tradie, you'll have compulsory and
opt-in insurances on your list, so they can all add up. Rather than take out separate
policies, you can package them. Doing so usually earns you a discount, so
you'll pay less overall.
Let us know if business changes
This is a good prompt to check your
current business operations, size and assets are a perfect fit for the cover
you've secured. For example, if you're an electrical contractor doing domestic
work, but about to work on a mine site, that significantly changes your risk
profile. Your premium would be triple that needed to cover domestic work.
Look to the policy exclusions and limits
for each type of cover – do they sound right to you? We can help guide you
through the fine detail.
Have the right levels of cover
For instance, your policy should reflect
if you've insured your gear for $60,000 originally but have upgraded since.
Perhaps you took out $10 million in public liability insurance, but a new
contract means you need to up that, such as to $20 million. The reverse may
also be so. Maybe a previous project required $20M public liability cover, but
you're tending to work on smaller projects now. Make sure you're not paying for
more coverage than you need.
A lower premium does not necessarily mean
you'll have lower protection. It's about finding that sweet spot between
insurance limits, exclusions, etc. and the cover you require.
We can help
The best way to save money or, more
importantly, ensure you have adequate cover at the best price is to take
advantage of our expertise. We have deep insights into the complex nature of
business insurance. That means we can properly analyse your business, your
profile and appetite for risk and draw on our knowledge to customise an
insurance package that should not only save you money, but ensure you're
We aim to help you protect your business
when the unexpected happens.
This content is created and provided by Finnigan Investments (Australia) Pty Ltd trading as OneAffiniti on behalf of Austral Risk Services, and is for commercial purposes. Any financial product advice in this content is provided by Austral Risk Services AFSL No. 244369. This material is general in nature and has been prepared without taking into account your objectives, financial situation or needs. Accordingly, before acting on it, you should consider its appropriateness to your circumstances.