Life insurance

As a business owner, it is important to protect your company against the unexpected death or serious injury of a principal.

The Total Care Plan range is a comprehensive personal insurance policy. It can help ensure you have the cash available to repay a loan on the death or disablement of a business partner, or purchase the remaining share of the business if a business partner were to die.

The Total Care Plan comprises:

• Life Care, which pays for a lump sum in the event of death or terminal illness
• Trauma Cover, which pays a lump sum when a specified medical condition occurs
• Total and Permanent Disability Cover, which pays a lump sum on total and permanent disablement

The need for business protection
 
Business loan protection
A business can struggle to service loans if a person responsible for its success and profitability dies or suffers a major illness. A lump sum benefit paid out under the Total Care Plan can help ensure funds are available to clear debts.

Loan account protection
If a company owes money to a shareholder/director and that person was to die, the business will almost certainly be liable for repaying this loan to the deceased estate. A lump sum benefit paid out under the Total Care Plan can help ensure funds are available to repay the loan.

Key person protection
Many companies have one or two people who are key to the success of the business. If one of these people were to die or become disabled, it could result in a substantial loss of profits. A lump sum benefit paid out under the Total Care Plan can provide a ‘cash cushion’ to offset profit loss until that person can be replaced.

Business succession protection
If a partner in a business dies, their interest may be left to his or her beneficiaries, who may not have the skills or desire to contribute to the business. A lump sum benefit paid out under the Total Care Plan can help ensure funds are available to purchase the deceased’s shareholding in the business.

• Important information about advice
  The advice on insurance and superannuation is provided by us and has been prepared without considering your objectives, financial situation or needs, you should, before acting on the advice, consider its appropriateness to your circumstances. View Financial Services Guide (PDF 33kb). 
  The Total Care Plan is a components of the Personal Insurance Portfolio, issued by The Colonial Mutual Life Assurance Society Limited ABN 12 004 021 809 (CMLA). CMLA is a wholly owned subsidiary of the Commonwealth Bank of Australia. The Commonwealth Bank of Australia does not guarantee the obligations or performance of CMLA or the products it offers.
  
  View a Product Disclosure Statement (PDS) for Personal Insurance Portfolio (PDF 704kb) and consider it before making any decision about this product.