If you run a small business in Australia, you’ve probably heard the term “BizPack” thrown around. Maybe your accountant mentioned it. Maybe a mate in your industry group swore by it. Or maybe you went looking for business insurance, got overwhelmed by the options, and someone told you a BizPack is the easiest way to sort it all out in one go.
And they’re not wrong. A BizPack — also called a business insurance package or a business pack policy — bundles multiple types of cover into a single policy. Instead of buying public liability from one insurer, contents cover from another, and business interruption from a third, you get them all under one roof. One premium, one renewal date, one policy document.
But here’s the thing: not all BizPacks are created equal. What’s included varies between providers. What’s standard with one insurer might be an optional extra with another. And if you don’t understand what each cover actually does — and more importantly, what it doesn’t do — you could be paying for gaps you don’t know exist.
This article walks you through every cover you’ll typically find in a BizPack. Not the marketing version. The real version. What it covers, what it excludes, and when it actually matters.
A BizPack is a starting point, not a finished product. The base bundle gets most small businesses most of the way there, but you almost always need to tweak it for your specific situation.
Public Liability Insurance
Public liability is the anchor of any BizPack. It’s the cover most small businesses think of first, and for good reason — it protects you when your business activities cause injury to someone else or damage to their property.
What It Covers
Public liability covers your legal liability for personal injury or property damage that happens because of your business operations. If a customer slips on your freshly mopped floor and breaks their wrist, public liability covers the medical costs and any legal action they take against you. If you’re a tradie and you accidentally put a ladder through a client’s window, public liability covers the replacement. If a product you sell causes harm, public liability covers the claim.
In Australia, most BizPacks include public liability with a standard limit of $20 million. That figure wasn’t pulled out of thin air — it’s the minimum many commercial leases, council permits, and government contracts require. Some policies offer $10 million as a base with an option to increase, but $20 million has become the de facto standard.
What It Doesn’t Cover
Public liability doesn’t cover injuries to you or your employees. That’s workers compensation territory, and in Australia workers comp is a separate statutory scheme managed by each state. It also doesn’t cover damage to your own property or tools — that’s what the property and contents sections of your BizPack are for.
Other common exclusions include professional advice or errors (you need professional indemnity insurance for that), gradual pollution, contractual liabilities beyond what common law would impose, and — critically — asbestos-related claims, which are almost universally excluded across the Australian market.
Public liability is non-negotiable for most businesses, but it’s not a catch-all. It covers your legal liability to others. It does not cover your own losses, your employees, or your professional advice.
Property and Contents Cover
If you work from a fixed location — a shop, a warehouse, a salon, an office — property and contents cover is what protects the physical stuff that makes your business run.
What It Covers
Property cover typically insures the building itself if you own it. Contents cover insures everything inside: furniture, fittings, stock, equipment, computers, tools stored on-site, and any other business assets you’d need to replace if something went wrong.
Most BizPacks cover a defined list of insured events: fire, storm, malicious damage, impact by vehicles, water damage from burst pipes, and so on. The important word here is “defined.” BizPack property cover is generally not “accidental damage” cover — it covers specific perils listed in the policy.
What It Doesn’t Cover
General wear and tear isn’t covered. Neither is gradual deterioration, rust, corrosion, or damage caused by vermin or insects — unless the policy specifically includes these, which most don’t. Flood cover is a major point of difference between policies: some include it as standard, some offer it as an optional extra, and some exclude it entirely. If you’re in a flood-prone area, this is one of the first things you should check.
Another common exclusion: property you take off-site. If you’re a tradie and your tools live in your ute, contents cover under a BizPack typically won’t protect them once they leave the insured address. You’ll need a separate general property or portable equipment extension — more on that shortly.
Theft cover (discussed next) is usually part of the property section but often comes with its own conditions around forced entry and evidence of break-in.
Theft Cover
Theft cover protects your business contents if someone breaks in and takes your stuff. It sounds straightforward, and in principle it is. But the conditions matter.
What It Covers
Theft following forced and violent entry to your premises is the standard. If someone smashes a window, jimmies a lock, or otherwise forces their way in and takes your stock, equipment, or other contents, theft cover responds.
What It Doesn’t Cover
Theft without signs of forced entry is often excluded, or limited. If someone walks in during business hours and pockets something off the shelf, that might not be covered — or it might fall under a different section of the policy depending on the wording. Employee theft is generally not covered unless you’ve specifically added fidelity guarantee or employee dishonesty cover, which is rarely part of a standard BizPack.
Cash kept on premises usually has a separate sub-limit — often somewhere between $500 and $2,000 — and some policies exclude cash theft entirely unless it’s in a locked safe.
Theft cover in a BizPack protects against break-ins, not sticky fingers during business hours. If you carry significant cash or high-value portable stock, check the sub-limits carefully.
Business Interruption Insurance
Business interruption is the cover most small business owners don’t think about until it’s too late. It’s also one of the most valuable parts of a BizPack, because it covers what happens after disaster strikes — the period when you can’t trade.
What It Covers
If your business premises suffer insured damage — a fire, a major storm, a vehicle crashing through the shopfront — and you can’t operate while repairs are underway, business interruption cover pays for your lost income and ongoing expenses. Think rent, wages you still need to pay, loan repayments, supplier contracts you can’t cancel.
The cover typically applies for a defined indemnity period — commonly 12 months, though longer periods are available. This is the maximum time the insurer will cover your losses from the date of the damage. If your business is in a niche location where rebuilds take longer (remote areas, heritage buildings), you might want a longer indemnity period.
What It Doesn’t Cover
Business interruption only kicks in when the cause of the interruption is an insured event under the property section. If your business shuts down because of a pandemic, a power outage from a grid failure, or a supplier going bust, business interruption won’t help unless those specific causes are listed in the policy.
There’s also usually a waiting period — often 48 to 72 hours — before cover begins, meaning you wear the first few days of lost income yourself.
Revenue is typically calculated based on your historical financials, so if you’ve been under-insured or your revenue has recently jumped, you might not be fully covered. This is why you should review your sums insured every year, especially if your business is growing quickly.
Glass Cover
Glass cover is exactly what it sounds like — insurance for broken glass. But in a BizPack context, it’s often more valuable than you’d think.
What It Covers
If you have a shopfront, glass cover insures the cost of replacing broken windows, glass doors, display cases, mirrors, and interior glass partitions. Some policies extend to signage, including illuminated signs. If a storm sends a branch through your front window or an over-enthusiastic shopper cracks a display case, glass cover handles the replacement.
Most BizPacks include glass cover as standard, though it’s sometimes limited to external glass only — check whether internal glass and glass shelving are included.
What It Doesn’t Cover
Scratches, chips that don’t compromise the structural integrity of the glass, and general deterioration aren’t covered. If the glass was already damaged before the insured event, you’re likely out of luck. Replacement of glass in electronic devices (phones, tablets, screens) falls under contents or electronic equipment cover, not glass cover specifically.
For hospitality and retail businesses, glass cover is one of the most-used sections of a BizPack. Shopfronts get damaged surprisingly often — vandalism, vehicle impacts, extreme weather — and replacing a large commercial glass panel can run into the thousands.
Machinery Breakdown
If your business relies on equipment — manufacturing machinery, refrigeration units, commercial ovens, printing presses — machinery breakdown cover protects you when that equipment fails.
What It Covers
Machinery breakdown covers the sudden and unforeseen physical loss or damage to specified machinery. Unlike property cover, which typically requires an external event (fire, storm, impact), machinery breakdown covers internal failures: mechanical breakdown, electrical short circuits, operator error, centrifugal force causing parts to fly apart.
If your commercial fridge dies in the middle of a summer heatwave and takes $5,000 worth of stock with it, machinery breakdown covers the repair or replacement of the fridge. The stock spoilage might be covered under contents or as a consequential loss, depending on your policy wording.
What It Doesn’t Cover
Machinery breakdown is not a maintenance plan. Gradual deterioration, wear and tear, rust, corrosion, and lack of proper maintenance are all excluded. If your equipment was already on its last legs, breakdown cover won’t bail you out. Boilers and pressure vessels often have their own specific exclusions or require separate inspection regimes.
Machinery breakdown covers sudden, unexpected failures. It doesn’t cover the slow death of neglected equipment. Keep your maintenance records — they’re your best defence if a claim gets disputed.
Tax Audit Cover
Tax audit cover is one of those quiet inclusions that you hope you never need but are very glad to have if the ATO comes knocking.
What It Covers
If the Australian Taxation Office audits your business, tax audit cover pays for the professional fees you incur responding to the audit: your accountant, your tax agent, your bookkeeper, sometimes legal fees. These costs can add up quickly — a comprehensive audit response can run into thousands of dollars even if the ATO finds nothing wrong.
The cover amount varies between policies but typically ranges from $10,000 to $50,000 in professional fees. Some policies also cover audits by state revenue offices for things like payroll tax.
What It Doesn’t Cover
Tax audit cover doesn’t pay any tax shortfall the ATO identifies. It covers the cost of responding to the audit, not the cost of the audit’s findings. It also doesn’t cover audits triggered by fraudulent behaviour or deliberate tax evasion. And it typically won’t cover audits that were already underway or announced before you took out the policy.
General Property / Portable Equipment
General property cover — sometimes called portable equipment insurance — is often an optional add-on rather than a standard inclusion, but it’s common enough in BizPacks aimed at tradies and mobile businesses that it’s worth covering here.
What It Covers
This section protects business property that doesn’t stay at your premises: tools of trade, laptops, mobile phones, cameras, surveying equipment, portable generators. It typically covers accidental loss or damage anywhere in Australia, and sometimes in transit.
For a tradie, this is the cover that protects the tools in the ute. For a photographer, it covers the camera gear on location. For a mobile dog groomer, it covers the clippers and table that go from house to house.
What It Doesn’t Cover
General property cover usually comes with sub-limits per item and per claim. A single high-value item — a $15,000 piece of diagnostic equipment, for example — might need to be specified separately. Theft from an unlocked vehicle is a common exclusion, and unattended property left in a vehicle overnight is almost never covered unless the vehicle was in a locked garage or secure compound.
If you take tools or equipment off-site, don’t assume your BizPack has you covered. General property cover is often an optional extra, and the conditions around unattended items can be strict.
Optional Extras Worth Knowing About
Every provider offers a slightly different menu of add-ons. Here are the most common ones you might encounter when customising your BizPack.
Personal Accident and Illness
This provides a lump sum or weekly benefit if you’re injured or fall ill and can’t work. It’s not income protection in the traditional sense, and benefits are usually capped at lower amounts. For sole traders without workers comp coverage for themselves, it can be a useful add-on — but it’s no substitute for proper income protection insurance.
Electronic Equipment Cover
Separate from general contents, this covers computers, servers, point-of-sale systems, and other electronic gear against accidental damage, breakdown, and sometimes data restoration costs. If your business runs on technology, this is almost always worth considering.
Fidelity Guarantee
Covers loss of money or stock caused by employee fraud or dishonesty. Not included in standard BizPacks — it’s always an optional extra — but if you handle significant cash or inventory, it’s worth a conversation with your broker or comparing providers via BizCover.
Transit Cover
If your business involves moving goods or equipment between locations, transit cover insures against loss or damage during transport. Standard property sections often exclude or limit cover for goods in transit.
Deterioration of Stock / Food Spoilage
For food businesses, refrigeration failure can mean thousands in lost stock. This optional extension covers spoilage following the breakdown of a fridge or freezer. Some policies include a limited amount as standard; check the sub-limit.
What You Should Actually Pay Attention To
Reading through a policy schedule is nobody’s idea of a good time. But there are a few things that consistently trip business owners up.
Sub-Limits
Your policy might say you have $50,000 of contents cover, but within that there could be a $2,000 sub-limit for cash, a $5,000 sub-limit for stock in the open air, and a $1,000 sub-limit for unspecified portable items. These sub-limits matter. If you keep $10,000 of stock in an outdoor storage area and it gets nicked, you might only be covered for $5,000 — or not at all, depending on the wording.
Exclusions Hiding in the Definitions
Policies often define things in ways you wouldn’t expect. “Flood” might mean something specific that doesn’t include stormwater runoff. “Theft” might require visible signs of forced entry that a professional thief doesn’t leave. “Business interruption” might exclude interruptions caused by damage to utilities infrastructure off your premises.
Underinsurance
If you insure your contents for $80,000 but they’re actually worth $150,000, you’re underinsured. Most Australian business policies apply an “average” or co-insurance clause, which means the insurer can reduce your claim payout in proportion to the underinsurance. If you’re 50% underinsured, they might only pay 50% of your claim. This is brutal and catches people off guard every year.
How to Compare One BizPack to Another
When you’re looking at BizPack quotes — whether directly through an insurer or through a comparison service like BizCover — focus on these differences rather than just the premium:
- What’s standard vs what’s optional
- The sub-limits on theft, cash, glass, and portable equipment
- Whether flood cover is included
- The business interruption indemnity period (12 months minimum, 24 months better)
- The excess structure (some policies apply separate excesses for different covers)
- Whether you can adjust the bundle — adding or removing covers — without losing the package discount
The cheapest BizPack is rarely the best value. A policy that costs $200 less but excludes flood cover, has a 48-hour BI waiting period, and caps glass at $1,000 might leave you a lot worse off than one that costs a bit more but actually covers what your business needs.
Frequently Asked Questions
Do I need a BizPack if I already have public liability?
Public liability covers your legal liability to others, but it doesn’t cover your own property, your stock, your income if you can’t trade, or your glass. A standalone public liability policy leaves you exposed on multiple fronts. A BizPack bundles those covers together, usually at a better overall price than buying them separately.
Can I add professional indemnity to a BizPack?
Professional indemnity insurance is typically a standalone policy and is not included in standard BizPacks. Some providers may offer it alongside a BizPack as part of a broader relationship, but it won’t be part of the package policy itself. If you give advice, design things, or provide professional services, you’ll need PI separately.
What’s the difference between a BizPack and a business insurance policy?
They’re essentially the same thing. “BizPack” is a marketing term used to describe a bundled business insurance package. Different insurers use different names — Business Pack, Business Insurance Package, SME Pack — but they all refer to a multi-cover policy for small to medium businesses.
Does a BizPack cover me if I work from home?
It depends on the policy. Some BizPacks are designed for commercial premises and won’t cover home-based businesses adequately. Others specifically cater to home-based businesses with appropriate contents, public liability, and portable equipment cover. If you work from home, tell your provider upfront — don’t assume a standard BizPack will fit, because the exclusions around residential premises can be significant.
How often should I review my BizPack cover?
At least once a year, and whenever your business changes materially — you move premises, buy expensive new equipment, start selling different products, or your revenue jumps by more than 20%. Business interruption cover in particular needs to reflect your current revenue, not what you were earning three years ago.
Disclosure: This article provides general information only and does not constitute financial advice. Insurance products vary between providers, and policy terms, conditions, limits, and exclusions differ. You should read the Product Disclosure Statement (PDS) for any policy you’re considering and seek professional advice tailored to your circumstances. Bizpack.au earns a referral fee if you purchase a policy through links on this site.