RBC Business Insurance Review 2024
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Discover the methodologyBusiness insurance is crucial for safeguarding your company against unforeseen events that could disrupt operations and financial stability. RBC, a trusted leader in the financial industry, offers a variety of business insurance plans tailored to protect your business and its key individuals.
Dive into everything about RBC business insurance with us, including Business Loan Insurance, Key Person Insurance, and more. We'll explore the benefits and drawbacks of their plans to help you determine if RBC business insurance is the right fit for your needs.
RBC Business Insurance: 5 Key Takeaways
- RBC business insurance safeguards finances and key personnel.
- Plans cater to loans, overheads, key personnel, and succession.
- Group benefits and insurance discounts enrich compensation packages.
- Premiums fluctuate based on industry, size, and location.
- Multiple channels ensure easy access to support when needed.
Our 2024 review of RBC business insurance
RBC business insurance offers a comprehensive range of coverage options tailored to protect Canadian businesses from unforeseen risks. From Business Loan Insurance, which helps ensure financial stability in the face of unexpected events, to Key Person Insurance, which safeguards the business from the loss of essential personnel, RBC provides solutions that cater to a variety of business needs.
Backed by one of Canada's most trusted financial institutions, RBC’s business insurance plans are designed to provide peace of mind with their strong financial backing, competitive pricing, and diverse options.
However, RBC may not offer as many customizable options as some specialized insurance providers like Manulife or Sun Life, which are known for their flexible business insurance plans and broader coverage options. Additionally, RBC’s policies tend to be more structured, which might not be as suitable for businesses with highly specific needs.
Who is RBC Business Insurance best for?
RBC business insurance is particularly well-suited for small to medium-sized businesses that rely heavily on key employees or have significant financial obligations. It's a great choice for those looking for reliable coverage with the backing of a major financial institution.
Here are some of its pros and cons:
Pros:
- Offers diverse plans
- Includes group plans and discounts on car and home insurance
- Round-the-clock emergency medical and travel support
- Covers critical illness, disability, and death, ensuring business stability
Cons:
- Premiums vary significantly based on multiple factors
- Certain products are not available in some provinces
- Strict criteria may limit access for some businesses
- Diverse offerings can be complex to navigate
Before making a decision, it's wise to explore your options. We recommend comparing other providers to ensure you find the best fit for your business. Use our free tool below to easily compare multiple business insurance quotes tailored to your specific needs.
Better protection for your business today
What are the types of RBC business insurance?
RBC offers several types of business insurance in Canada, focusing on protecting your business finances and key individuals:
- Business Loan Insurance Plan: This plan safeguards your business loan repayments in case of death, disability, or critical illness of the borrower. It applies to various RBC loans, including operating lines, credit lines, and small business financing.
- Business Overhead Expense Insurance: This insurance covers your ongoing business expenses if a key owner or partner experiences a disability or critical illness. It helps maintain financial stability during such situations.
- Key Person Insurance: This insurance protects your business financially in case of the death or disability of a critical person whose skills and experience are vital to the company's success.
- Buy-Sell Insurance: This insurance helps business partners or shareholders plan for the future. It provides funds to purchase the departing partner's share of the business in case of death, disability, or retirement.
RBC business insurance — benefits for employees
The company offers Group Benefits and Car and Home Insurance for employees in Canada.
Group benefits:
- Provided by employers as part of an employee compensation package.
- Typical coverage includes health and dentaintl insurance, disability insurance, life insurance, and accidental death and dismemberment insurance.
- May also include wellness programs, access to healthcare professionals, and digital tools for managing benefits.
- Details on specific plans and coverage depend on your employer's selections within the Group Benefit Solutions program.
Car and home insurance:
- Offered to RBC employees directly through RBC Insurance.
- Provides employee group plan member rates, potentially offering significant savings on car and home insurance (up to 20% on car and 10% on home, with additional discounts possible).
- Includes access to licensed insurance advisors for personalized advice and a dedicated support network for claims and service.
- Availability may vary by province (car insurance is not offered in Manitoba, Saskatchewan, and British Columbia).
Good to know
If your business stores sensitive customer data such as social insurance numbers, addresses, or financial information, you may be at high risk for data breaches. With the increasing costs and frequency of cyberattacks, cyber insurance is essential to safeguard your business against severe financial losses and potential lawsuits. Don't wait until it's too late—protect your business now from these growing threats. Check out our guide on the best cyber insurance plans in Canada.
What is the cost of RBC business insurance?
Business insurance quotes are highly customized and can vary significantly based on the following factors:
- Industry: The type of business you operate significantly impacts the cost. High-risk industries like construction or manufacturing typically pay more for insurance compared to lower-risk industries like consulting.
- Business size: Generally, larger businesses with more employees and higher potential business liabilities will have higher insurance premiums.
- Location: The location of your business can affect the cost. Areas with higher crime rates or natural disaster risks may see increased premiums.
- Coverage selection: The specific types of coverage you choose (e.g., property, liability, key person) and the level of coverage (e.g., higher coverage limits) will directly impact the overall cost.
- Claim history: Businesses with a history of claims will likely pay higher premiums compared to those with no claims.
- Loss prevention measures: Implementing safety measures and risk management programs can demonstrate a lower risk profile and potentially qualify you for discounts.
Average cost of business insurance in Canada
Again, providing an average cost for business insurance in Canada is challenging due to the high degree of customization. But here are some ballpark figures to give you a rough idea so you know what to expect:
For example
- Small businesses: $1,000 to $5,000 per year
- Medium-sized businesses: $5,000 to $20,000 per year
- Large businesses: $20,000+ per year
These are just ballpark figures. The actual cost for your business can vary significantly. Contact RBC Insurance or a broker to get a more accurate quote based on your specific circumstances.
The most direct approach is to contact RBC Insurance through its website or by phone (1-877-917-6925).
You must compare plans from other insurers before zeroing in on RBC. You can use our free tool below to compare multiple personalized quotes from Canada's best companies. Get instant results online.
What is RBC’s Business Loan Insurance Plan?
RBC's Business Loan Insurance Plan is a financial safety net designed to protect your business from the burden of loan repayments in case of unexpected events happening to the borrower.
Coverage triggers:
- Death: If the borrower unfortunately passes away, the insurance benefit pays off a portion or all of the outstanding loan balance. This helps the business avoid financial strain and allows it to continue operating.
- Disability: If the borrower experiences a disability that prevents them from working and generating income to repay the loan, the insurance benefit can kick in. It helps cover loan payments, providing some financial breathing room while the borrower recovers.
- Critical illness: Similar to disability, if the borrower is diagnosed with a critical illness and unable to work, the insurance can help manage loan repayments.
Who is eligible for RBC’s Business Loan Insurance Plan?
To qualify for and maintain coverage eligibility, your business must:
- Be domiciled and operate in Canada.
- Be a legal entity operating a business or farm that has a loan with RBC Royal Bank.
Eligible business loans
The following RBC Royal Bank business loans are eligible for coverage:
- Operating loans and operating lines of credit
- Term and demand loans
- Canada small business financing loans
- Commercial mortgages less than $1,000,000 (CAD)
- RoyFarm mortgages
Individuals eligible for coverage
To qualify and remain eligible for coverage, the proposed insured must meet the following requirements and answer the basic insurability questions:
Critical illness coverage with life insurance: Up to 25 owners, guarantors, or key employees may be insured for critical illness coverage:
- Must be 18 years of age but less than 60 years of age on the date of application
- Must be a Canadian resident
- Must be approved for and maintain a minimum of $25,000 in life insurance coverage under the plan
Disability coverage with life insurance: Up to 3 business owners may be insured for disability coverage:
- Must be 18 years of age but less than 65 years of age on the date of application
- Must be a Canadian resident
- Must be actively working for the business at least 20 hours a week on the date of application
- Must be approved for and maintain a minimum of $25,000 in life insurance coverage under the plan
Life insurance: Up to 25 owners, guarantors or key employees may be insured for life coverage:
- Must be 18 years of age but less than 65 years of age on the date of application
- Must be a Canadian resident
<strong>RBC Business Travel Insurance</strong>
Designed to provide financial protection for business travelers in case of unexpected events during their trip. RBC business travel insurance covers:
- Trip cancellation or interruption
- Medical expenses
- Baggage loss or damage
- Travel delays
- 24/7 emergency assistance
If you run a pet-related business, check out our guide on the best pet business insurance in Canada. Find out everything you need to know from what's covered, what it costs, and more.
How to make a business insurance claim with RBC?
You can contact RBC for any claim-related issues on one of the following numbers.
| Insurance Type | Contact Number(s) | Availability |
|---|---|---|
| Business Overhead Expense Insurance Key Person Insurance Buy Sell Insurance | 1-877-519-9501 | Monday to Friday: 8 am to 5 pm, ET |
Business Loan Insurance Plan | 1-855-430-0616 | Monday to Friday: 8 am to 10 pm, ET |
| Business Travel Insurance: Claims (New or Existing) | 1-888-412-5417 (Toll-free from Canada & U.S.) Fax: (905) 813-4701 (Toll-free from Canada & U.S.) | Monday to Friday: 8 am to 8 pm, EST (excluding Statutory Holidays) |
| Business Travel Insurance: 24/7 Emergency Medical and Travel Assistance | Call: 1-800-387-2487 (Toll-free from Canada & U.S.) (905) 816-2561 (Collect from anywhere via Canada Direct) Fax: 1-888-298-6340 (Toll-free tax from Canada & U.S.) (905) 813-4719 (Fax from anywhere) Email: [email protected] | 24 hours a day, seven days a week |
| Business Travel Insurance: Trip Cancellation or Interruption | 1-888-412-5417 (Toll-free from Canada & U.S.) | Monday to Friday: 8 am to 8 pm, EST (excluding Statutory Holidays) |
| Business Travel Insurance: Travel Insurance Extensions | 1-888-412-5417 (Toll-free from Canada & U.S.) | Monday to Friday: 7:30 am to 8:30 pm, ET Saturday: 9 am to 5 pm, ET |
| Car and Home Insurance for Your Employees | 1-800-769-2526 (Toll-free from Canada & U.S.) 905-608-8945 (Collect call from anywhere) | Call us as soon as possible |
- For medical emergencies, if you are unable to call before receiving treatment, have someone call on your behalf at the earliest opportunity.
- For trip cancellations, contact your travel agent, airline, tour operator, or carrier no later than one business day after the cause of cancellation.
