Business Insurance

You’ve poured your heart into growing your business. It’s your livelihood and your legacy. But what happens if life throws the unexpected at you, or one of the people your business relies on? Could the business keep going? Could debts still be managed? Would ownership and responsibility transfer smoothly, or would everyone be left scrambling? These are hard questions, but they’re also the ones that matter most. At Parachute our role is to guide you through those conversations now, so your business and the people who are building it, are protected.

Protect what you’ve built

Your business is your livelihood and your legacy. Protect it and the people it depends on.  

For your business, think about:

Succession

What happens to ownership if a shareholder passes away or becomes permanently disabled?

Key Person Risk

How would the business cope if a key contributor could no longer work?

Funding Debt

Could the business continue to meet its obligations if a guarantor was no longer there?

Think about the future

If something happens to you, how will you protect their future?

For yourself, think about:

Life Insurance

Life Insurance can provide your family with a lump sum payment after you’ve passed, or after you have been diagnosed with a terminal illness.

Living Insurance

If you are unable to work in the business due to injury or illness, covers like Income Protection, Critical Illness and TPD can help ease short-term financial pressure — giving you the space to focus on recovery so you can return to doing what you do best.

Did you know?

The Insurance Council of Australia’s research shows that 12.8% of small businesses in Australia don’t have adequate insurance cover. 

Hear from our clients

“When I talked to Parachute about the business I realized that the company was my passion, but not my wife’s, and it was unfair to expect her and the other shareholders to continue on as a new group after I’d gone. So we created a plan that ensures if something happens to me, my wife will be financially compensated, and ownership will transfer to the other shareholders.”
“When I talked to Parachute about the business I realized that the company was my passion, but not my wife’s, and it was unfair to expect her and the other shareholders to continue on as a new group after I’d gone. So we created a plan that ensures if something happens to me, my wife will be financially compensated, and ownership will transfer to the other shareholders.”

The Parachute Difference

Guiding you through key decisions
Delivering clarity on your cover
Structuring for tax efficiency
Weighing up costs and benefits
Working collaboratively with your advisers

The Parachute Process

one

Taking that first step

two

Getting to know you

three

Creating a strategy

four

Statement of Advice

Taking that first step


The first step might seem like the hardest. But it gets so much easier once you’ve made a start. And of course, you’re not jumping into anything. You’ve got that ‘first meeting at our cost’ parachute strapped to your back. So, if we’re not a good fit, we can part ways on good terms, and you won’t be a cent out of pocket.

two

Getting to know you


The first meeting is at our cost. This is where we get to understand who you are and what’s important to you. We want to get a picture of what you’d like to protect now, but also what you’re working towards. In that way, while you’re building your wealth, we can help to underpin it and get the right foundations in place.

three

Creating a strategy


In the second meeting we’ll present your personalised strategy, including one or more options that best fit your situation. Naturally a large amount of work goes into preparing this plan and so there is a charge for this stage.

four

Statement of Advice


The Statement of Advice (SOA) and the implementation of recommendations is the culmination of all the work done so far. The fee will depend on complexity (number of existing policies/super funds/health history). Alongside your advice fee, Parachute will also receive a commission from the insurer.  

FAQs

What is Key Person Risk?

It’s common for a business to have at least one key person who’s contribution is directly connected to the success of the business. Losing one of these people could dramatically affect future revenues. That’s why Key Person Cover is so important. It protects the business in the event the business suffers a financial loss resulting from the death, disability, or illness of a key person.  

Debt cover allows the business to pay down debt on the death or disability of a guarantor. This provides protection for the business, shareholders, and the departing shareholder or their estate. At Parachute we can review these three types of cover for you and see how they could be best structured for your business. Finding a sensible solution will allow you to move forward and grow your business with greater certainty for the owners, and more peace of mind for their families. It is important that this insurance plan is backed up with a strong agreement. Parachute will collaborate with your solicitor if you have one, or will recommend one, to ensure the insurance plan in place, will pay out as intended. 

When you’re a one-man band, you’re probably running a tight ship and trying to save money. But at the very least you should make sure your personal covers are in place to protect you and your family. As the business gets bigger, and you’re building a team of people, business cover is really important. Needs evolve over time, so make sure you review your cover as the business grows. 

No. Parachute is able to compare all insurance providers. We are not restricted in our choice. Our recommendations are based on the quality and cost of the cover provided, and how well their policies meet your needs.  

Yes. Parachute does receive commissions from insurers. These commissions are set at the same percentage regardless of which insurer is chosen. We believe this provides a level playing field and removes any possible bias from the decision making process.   

No. The first meeting with Parachute is at our cost. We want to be as accessible as possible so you can reach out and get to know us before you make any commitments.  

Find a better plan
with Parachute

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