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Premium Funding

Insurance premiums can be paid in many ways. Typically premiums are paid through the commercial payment system by cheque, cash, credit card or electronic funds transfer (including internet transfers).

It is also possible to pay insurance premiums by instalments. Some insurers accept monthly, quarterly or half yearly instalments.

Premium Funders also facilitate payment of premiums by instalments.

Premium Funders are not insurers but lenders. They allow policy holders to spread their insurance premium expense into monthly instalments, generally ranging from 6 to 10 months.

While Premium Funders charge commercial interest rates, generally they do not require any tangible security other than the right to cancel the underlying policy in the event of failure to pay any instalment.

Premium finance is a cost effective way to spread the insurance expense, smooth cash flow and free up working capital. The interest component may be deductible for tax purposes.

Major premium funders in Australia include:

• GE/Pacific/CGU
• Hunter
• Centrepoint Alliance
• Macquarie Bank
• Westpac
• BMW
• Lumley
• Aon

E-Quine Insurance Services can arrange premium funding on your behalf in respect of all eligible insurance policies, irrespective of the insurer, underwriting agent or broker. Simply inform us of the amount of premium you have to pay, to whom and by when, and we will present you with various instalment options, from which to select the one that suits you best.