Calculator
PII premium finance
calculator.
Estimate what spreading your professional indemnity insurance premium would cost: the deposit, the monthly instalment and the total you would pay.
How it works
How the figures are worked out.
The deposit is the percentage of the premium you pay upfront, and the rest is the amount financed. The calculator applies the interest rate you enter once to the amount financed, as a flat charge, and divides the amount financed plus that charge into equal monthly instalments over the number of months you choose.
Premium finance providers charge for the credit either as interest or as a flat charge built into the instalments. A flat charge is not the same as an annual percentage rate, so when you compare offers, look at the total amount payable and the instalment, not just the rate.
Any arrangement fee you enter is added to the total cost. The calculator does not include mid-term changes to the policy or charges for late payment.
Illustrative only. The figures are estimates based on the numbers you enter, including any rates and fees, which are your own assumptions. They are not a quote, an offer of finance or the rate you would be offered. Lenders decide eligibility, rates and terms.
Professional Practice Loans is a broker, not a lender: we search the market for lenders suited to your practice. Finance of £25,000 or less for sole traders and small partnerships can be regulated consumer credit. We'll tell you at the outset if that applies to your firm.
Questions
About this calculator.
How does PII premium finance work?
A premium finance provider pays the insurance premium on the firm’s behalf, and the firm repays the provider in instalments, usually monthly, over the policy year or a similar period. Our guide to funding your PII renewal covers the detail.
Why does the calculator use a flat rate?
Premium finance is often priced as a flat charge on the amount financed, built into the instalments, so the calculator works that way. If your offer quotes an annual rate instead, compare the total amount payable and the instalment rather than the rate on its own.
Why is the default 10 instalments?
It is a starting point to change. Enter the number of monthly instalments in the agreement you are considering, from 1 to 12.
What happens if an instalment is missed?
Missed instalments are serious. In many premium finance arrangements, the provider has the right to ask the insurer to cancel the policy if payments are not made. Check the agreement’s terms before signing, and speak to the provider early if a payment may be late.
Let's talk
Want real figures
for your practice?
A calculator can only use the numbers you give it. Tell us what the funding is for and we will search the market for lenders suited to your practice. No obligation.
More calculators
- 01Practice purchase loan calculatorLoan amount, monthly repayment and total cost of buying a practice, with repayments as a share of profit.→
- 02Partner buy-in loan calculatorMonthly repayment and total cost of funding a capital contribution, against your profit share.→
- 03Tax bill funding calculatorMonthly repayment and cost of spreading a VAT, corporation tax or self-assessment bill.→
