Insurance Premium Funding
We're trusted asset finance brokers, helping ABN holders, businesses and owner-operators secure finance with fast approvals up to $500,000. Rather than relying on a single bank or dealership, we compare major banks and non-bank lenders, negotiating low interest rates, fees and repayments. From application to settlement, we manage the entire process for a hassle-free experience.
Free No-Obligation Quote
Compare options with 80+ lenders. No credit impact.
Spread Your Insurance Premiums Into Monthly Payments
A Flexible Way to Manage Insurance Costs
Rising insurance premiums can place pressure on business cash flow, especially when annual premiums are due in a single payment. Insurance Premium Funding provides a convenient alternative, allowing you to spread the cost of your insurance cover into manageable monthly repayments while keeping your policies active and up to date.
Rather than paying a large lump-sum premium upfront, insurance premium funding breaks the cost into fixed monthly payments, helping to protect your cash flow and preserve working capital for other business needs.
With premium funding, a finance provider pays your annual insurance premium directly to your insurer on your behalf. You then repay the funded amount over an agreed term, typically through regular monthly installments.
Many businesses can also consolidate multiple insurance policies into a single monthly repayment, making it easier to manage expenses and budget effectively. This can free up funds for day-to-day operations, inventory purchases, growth opportunities, and unexpected business costs, while ensuring you maintain the insurance cover your business needs.
Benefits of IPF
A selection of options available for this type of finance.
Who Uses Insurance Premium Funding?
A selection of options available for this type of finance.
Our Simple Process
Follow these steps to get your application underway.
- 01
Share Your Policy Details
Tell us about your business insurance premiums and the covers you need funded. We'll identify the best structure for your situation.
- 02
We Compare Lenders
We compare insurance premium funding options from our panel to secure the best monthly repayment schedule and interest rate for your premiums.
- 03
Quick Approval & Setup
Insurance premium funding approvals are typically fast with minimal documentation. We handle the setup to ensure your covers stay active while payments are spread over the year.
- 04
Ongoing Support
We're here to assist at renewal time or if your insurance portfolio changes throughout the year.
Industries
Why Every Industry Relies on Insurance Premium Funding.
Reviews
What Our Clients Say
★★★★★ 5.0 / 5 based on our Google reviews
FAQ
Insurance Premium Funding — Frequently Asked Questions
Common questions about insurance premium funding — answered.
How does insurance premium funding work?
A funder pays your annual insurance premium to the insurer in full on your behalf, and you repay the funder in smaller monthly instalments across the policy year. It turns one large upfront bill into manageable payments, usually by direct debit. Your cover stays exactly the same — only the way you pay for it changes.
What's the cash flow benefit?
Instead of paying a full year's premium in one hit, you spread the cost over the year and keep that capital working in your business. That's especially valuable as insurance costs have risen sharply in recent years. It frees up cash for stock, wages or growth rather than tying it up in a single annual payment.
Which policies can I fund?
Most annual business policies qualify — public liability, professional indemnity, business pack, commercial motor, and similar covers. You can often roll multiple policies together into one monthly instalment. One-off or event-specific policies generally aren't eligible, so it's worth checking your particular covers with us.
What does premium funding cost?
There's typically a modest once-off application or administration fee plus an interest charge on the funded amount, with rates often sitting in the single digits. The rate is usually locked in for the term, so your instalments stay predictable. Any interest on funding for business insurance is generally deductible, subject to professional advice.
How long is the repayment term?
Terms usually run for around 10 months but can be set anywhere between roughly 6 and 12 months, aligned to your policy's end date. This keeps the funding neatly matched to your period of cover. When renewal comes around, the arrangement can simply be set up again for the new year.
Is there a minimum premium to qualify?
Premium funding is generally geared toward annual insurance costs above around $5,000, whether from a single policy or several combined. Below that, the admin may outweigh the cash flow benefit. If you're near the threshold, Simon can quickly tell you whether it stacks up for you.
Do I have to arrange this through my insurance broker?
Not necessarily — as a finance broker we can arrange premium funding alongside your existing insurance, comparing funders to find competitive terms. Your insurance cover and broker relationship stay untouched. And our service is free to you, since the funder pays us rather than you.
Is a deposit required?
No deposit is required for eligible ABN holders with a strong credit and trading profile. A deposit can help improve your rate or secure approval if your credit profile is less straightforward.
Can I finance a used asset?
Yes. Finance is available for new and used assets. Age limits vary by lender and asset type. We identify the right lender for your specific asset.
How quickly can I get approved?
Most applications receive a decision within 24–48 hours. Once approved, your pre-approval is valid for 90 days.
Can I get low doc finance?
Yes. Low doc (no financial statements) finance is available up to $500,000 for eligible ABN holders. We typically need your ABN, driver's licence and bank statements.
Can I finance from a private seller?
Yes. We arrange finance for assets purchased from private sellers anywhere in Australia. The lender pays the seller directly on settlement.
Can I finance with bad credit?
Yes. Specialist lenders on our panel consider applicants with a range of credit profiles, including those who have been declined by banks.
What is the typical loan term?
Loan terms typically range from 2 to 7 years depending on the asset type, value and your cash flow requirements.
Can I refinance existing finance?
Yes. Refinancing can reduce your rate, lower repayments or release equity. We compare refinance options across 80+ lenders.
Are repayments tax-deductible?
Interest repayments under a chattel mortgage are tax-deductible. You can also claim depreciation on the asset and GST upfront. Speak with your accountant about your specific situation.
Is insurance required?
Yes. Most lenders require comprehensive insurance before settlement. We can assist with arranging cover.
Can I use a balloon payment?
Yes. A balloon payment reduces monthly repayments by deferring a lump sum to the end of the term. We size it to match the asset's expected resale value.
Does applying affect my credit score?
No. Submitting an enquiry with us doesn't affect your credit score. We only proceed to a formal credit application with your explicit approval.
What is the minimum loan amount?
Most lenders have a minimum of $10,000–$20,000 for asset finance. We'll confirm the minimum for your specific asset type.
Lending Panel
Access to 80+ Lenders In One Place
Overdrive Commercial Funding is directly accredited with all major banks, commercial non-bank, specialist and private lenders.
