Insurance for Self-Employed Professionals
General insurance guidance for self-employed professionals considering how to manage personal financial risk.
Self-employed workers, sole traders and contractors typically do not have access to employer-provided sick leave, group cover or workers’ compensation in the same way as employees. As a result, personal insurance is one way some self-employed professionals consider managing the financial impact of illness or injury.
Self-employment can also involve specific considerations, such as variable income, business debts, personal guarantees and reliance on a single individual to generate revenue. Personal insurance — including income protection, life cover, trauma and Total and Permanent Disability (TPD) — can be considered alongside business-specific cover where relevant.
How we work with self-employed professionals
Variable income considerations
Income protection for self-employed workers is generally based on average earnings over recent years. We can outline how this is typically assessed and presented to insurers.
Business debts and personal guarantees
Where personal guarantees on business loans, leases or equipment finance exist, these can be relevant when considering personal insurance.
Key person considerations
Where a business depends heavily on the work of one individual, key person cover is one option some businesses consider.
Tax considerations
Income protection premiums paid outside super are generally tax-deductible for self-employed individuals. We can outline how this may apply to your structure.
How we work with self-employed professionals
Self-employed income can differ from a standard salary structure. There are insurance products available in the market that may offer features relevant to self-employed individuals, including options relating to business expenses and personal cover.
Self-employed clients may also wish to consider factors such as personal guarantees, equipment leases and ongoing business commitments when researching insurance options.
Insurance needs and financial circumstances can change over time, so some clients choose to periodically review their existing cover and policy features.
Cover Options for Self-Employed Professionals
We help self-employed professionals find the right combination of cover from these four types of insurance.
Life Insurance
A lump sum for your family if you pass away or are diagnosed with a terminal illness.
Learn moreIncome Protection
Replaces up to 70% of your income if illness or injury stops you from working.
Learn moreTotal Permanent Disability (TPD)
A lump sum if you become totally and permanently disabled and can no longer work.
Learn moreTrauma Insurance
A lump sum on diagnosis of a critical illness like cancer, heart attack, or stroke.
Learn moreCommon Questions from Self-Employed Professionals
Ready to Protect What Matters?
If you would like to understand the personal insurance options available to you as a self-employed professional, you are welcome to book a free, no-obligation conversation.
* Statistics and figures referenced on this page are sourced from Rice Warner Underinsurance Reports, ABS Lending Indicators, ASFA, and industry publications. Figures are approximate and individual circumstances vary.