⚠ GENERAL ADVICE WARNING: This calculator provides general guidance only and does not constitute financial product advice. The results are estimates to assist in determining an appropriate Business Interruption Insurance sum insured. You should consult your broker and accountant to confirm figures before placement. Agentic AI Insurance Services and Insurance Advisernet AFSL 240549 / AR 296822.
Agentic AI Insurance Services — BI Sum Insured Calculator
Insurance Advisernet AFSL 240549 · AR 296822 · Version 5.0 · March 2026
Insurance Advisernet AFSL 240549 · AR 296822 · Version 5.0 · March 2026
Business Interruption Insurance
Sum Insured Calculator
V5.0 · Mar 2026
Complete this calculator with your accountant to determine the correct BI sum insured for your client.
📋 Client & Policy Details
📌 Indemnity Period Note: Even for shorter indemnity periods, always declare 12 months of full gross revenue.
Insurers provide a premium discount for shorter periods — declaring only 6 months of revenue will cause underinsurance and potential claim shortfall.
STEP 1
Calculate Gross Turnover / Revenue
Enter estimated gross revenue for the current financial year, then add a trend % to project over the next 12 months (the insured period).
Complete with your accountant where possible.
| Revenue Description | Last Year ($) | Trend (%) | Projected ($) |
|---|
📦 STOCK ADJUSTMENT (businesses holding inventory only — leave blank if not applicable)
▶ TOTAL DECLARED TURNOVER / REVENUE
$0
STEP 2
Deduct Uninsured Working Expenses
Uninsured Working Expenses are variable costs that cease if the business stops (e.g. purchases, subcontractors, freight).
Do NOT include fixed costs like wages, rent or loan repayments — those continue and are insured.
| Expense Description | Last Year ($) | Change (%) | Deductible ($) |
|---|
TOTAL UNINSURED WORKING EXPENSES
$0
⭐ DECLARED GROSS PROFIT (Step 1 minus Step 2)
$0
⚠ 80% Underinsurance Threshold (minimum to avoid proportional reduction)
$0
STEP 3
Payroll (Optional — Dual Wages)
Only complete if you do NOT wish to insure 100% of payroll. For most small–medium businesses, all staff would be retained to assist recovery — skip this step and use Option A or B in the Summary.
For large employers who would stand down some staff after a major loss, complete this section.
STEP 4
Additional Items / Extensions of Cover
These items are added to the Gross Profit to arrive at the total BI Sum Insured. Discuss each extension with your insurer.
| Extension / Additional Item | Annual Amount ($) |
|---|
TOTAL ADDITIONAL ITEMS
$0
📌 Summary — Recommended Sum Insured Options
Three options are provided. Option B (25% buffer) is recommended for most businesses to guard against underinsurance and business growth during the policy period.
Option A
No Buffer — Exact Calculation
$0
Gross Profit + Extensions only. No allowance for growth or underinsurance margin.
✓ RECOMMENDED
Option B
25% Buffer — Standard Protection
$0
+25% uplift on Gross Profit. Recommended minimum for most trading businesses.
Option C
50% Buffer — Maximum Protection
$0
+50% uplift. For high-growth businesses or long recovery times. Maximum protection.
📝 Notes, Fact-Find & Declaration
DECLARATION: I/We confirm that the information provided in this calculator is accurate to the best of my/our knowledge and has been prepared with reference to actual financial records. I/We understand that this calculator is a guide only and does not constitute financial product advice. I/We acknowledge that underinsurance may result in a proportional reduction of any claim payment.
Insured / Owner Signature & Date
Broker Signature & Date
📋 Property Owner & Portfolio Details
GROSS RENTALS BASIS: Used for property investors, landlords and SMSFs. The sum insured is the total gross rental income receivable — no deduction for variable expenses (there are none).
This covers loss of rent if the property is damaged and becomes untenantable. Trading businesses should use the Gross Profit tab.
📌 Indemnity Period Recommendation: A minimum of 18 months is recommended for commercial and industrial properties,
reflecting the time required to obtain planning approvals, design, and rebuild after a major loss.
STEP 1
Gross Rental Income — Property Schedule
Enter each tenancy/property. The Projected Rent applies the trend to arrive at an annualised rent for the insured period.
| Property / Tenant Description | Address | Annual Rent ($) | Trend (%) | Projected ($) |
|---|
▶ TOTAL DECLARED GROSS RENTAL INCOME
$0
⚠ 80% Underinsurance Threshold
$0
STEP 2
Additional Items
| Item | Annual Amount ($) |
|---|
TOTAL ADDITIONAL ITEMS
$0
📌 Summary — Recommended Sum Insured
Option A
Exact — No Buffer
$0
Total rental income + additional items. No growth allowance.
✓ RECOMMENDED
Option B
25% Buffer
$0
Recommended for most residential and commercial landlords.
Option C
50% Buffer
$0
For industrial / large commercial portfolios with long rebuild times.
📝 Fact-Find Notes & Declaration
Owner / Trustee Signature & Date
Broker Signature & Date