Debt Protection



Debt Protection cover is essentially life insurance for your business


Ensure your business debt is cleared in the event of key person loss.

Just as personal debt is a priority to be cleared in the event of death, so too is business debt. If you, a co-owner or key staff member passed away, both revenue and the business’ ability to repay debt could be affected.

Debt protection ensures the company’s debts are cleared if the unexpected happens. This  leaves the business as an unencumbered asset, which is more easily sold or managed by the estate or inheritors. This is particularly vital if any business loans have been personally guaranteed or personal assets have been used as security.

With facility to increase cover based on business growth, without having to provide additional health evidence, debt protection for your business is a smart choice.

Daniel Smithwood Titirangi localDaniel details the benefits of debt protection

Let's use the example of Caleb and Laura. Caleb has a relatively new tree-felling business and employs two staff. All three of them are actively involved in the use of heavy and dangerous equipment and are often working at heights.

Caleb's partner, Laura, works in early childhood education and has no active role in the business, although she does have a 50% shareholding. There is $200,000 of debt in the business from funding the purchase of machinery, tools and equipment, along with buffering the overheads of the business for the first six months.

Sadly, Caleb dies in a car accident. In addition to his personal life insurance and ACC benefits that pay directly to Laura, Caleb also had a Debt Protection policy in place. It clears the company's debts and leaves the business in a very strong capital position. This gives Laura the time and freedom to choose whether to liquidate the assets and wind up the business, or to sell the business as a going concern with a healthy balance sheet.

Have you protected your company? Is your family's future safe? Reduce stress and contact Daniel to discuss the options for you! 

Ask Daniel about business insurance


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Throughout every meeting we have had with Daniel he has had the utmost empathy, friendliness and professionalism. He answers the questions we don't even know how to ask and ensures a seamless process every step of the way. Not once did we feel like we were being given a sales pitch. Instead Daniel genuinely found the best solution for us at every step. Most significantly when we needed him last year for a claim he went above and beyond taking away huge amounts of stress.  Madeleine Collins