Running your own business can be rewarding in many ways.
From the flexibility and independence of being your own boss, to achieving personal fulfilment from doing what you love; the benefits of being self-employed are significant.
However, with this opportunity comes risk, such as what happens if you are injured or become ill and cannot work for an extended period of time.?
How do you maintain your income?
How does your business continue?
This is where financial protection, as a part of essential business planning, becomes important.
Nobody wants to consider an accident or illness impacting their health suddenly, but it’s a very real possibility.
As a self-employed worker, you are generally not entitled to workers’ compensation.
Income protection becomes your key safety net in the event you suffer an illness or injury, and are unable to work for a period of time.
What are the benefits of income protection?
“When small business owners think about their insurance needs, they immediately consider cover for their physical assets, be it their cars and equipment,” says Gallagher, FENCiT’s endorsed insurance partner.
“However, they often miss the most important asset in their business – themselves.
“Income protection will generally cover up to 75% of your monthly income in the event that you are temporarily unable to work due to illness or injury.
“It is paid out as a monthly benefit which you can use to pay ongoing personal and business financial obligations as you see fit.
“Better still, premiums are generally tax deductible or if cash flow is tight, you could choose to fund premiums through your superannuation.”
What to do next?
Now is the time to stop and think how you can safeguard the business you have built from the ground up, and all the time and energy you have spent to get it to where it is today.
Don’t neglect the most valuable asset in your business. Because if it weren’t for you, where would your business be today?
As each business is unique, it’s important to seek advice to assess your situation and work out the cover that best suits your needs.
As well as a range of general insurance products, Gallagher is also offering all FENCiT members a free, no-obligation insurance review to make sure you have the right cover for your business’s unique risks, including personal insurance needs.
Visit the dedicated FENCiT insurance web portal for more information or you can call Jamie Lansdown on 0409 406 844.
A simple review with Gallagher could save you time and money and, most importantly, make sure that your parachute works when you need it.
This article was first published in The Fence magazine.