diff --git a/src/libs/MoneyRequestReportUtils.ts b/src/libs/MoneyRequestReportUtils.ts
index d13346df710be..264ecb724d63d 100644
--- a/src/libs/MoneyRequestReportUtils.ts
+++ b/src/libs/MoneyRequestReportUtils.ts
@@ -4,6 +4,7 @@ import type {TransactionListItemType} from '@components/SelectionListWithSection
 import CONST from '@src/CONST';
 import type {OriginalMessageIOU, Policy, Report, ReportAction, ReportMetadata, Transaction} from '@src/types/onyx';
 import {convertToDisplayString} from './CurrencyUtils';
+import {isPaidGroupPolicy} from './PolicyUtils';
 import {getIOUActionForTransactionID, getOriginalMessage, isDeletedAction, isDeletedParentAction, isMoneyRequestAction} from './ReportActionsUtils';
 import {
     getMoneyRequestSpendBreakdown,
@@ -19,7 +20,7 @@ import {
 import {getReimbursable, isTransactionPendingDelete} from './TransactionUtils';
 
 function isBillableEnabledOnPolicy(policy: Policy | OnyxEntry<Policy> | undefined): boolean {
-    return !!policy && policy.disabledFields?.defaultBillable !== true;
+    return !!policy && isPaidGroupPolicy(policy) && policy.disabledFields?.defaultBillable !== true;
 }
 
 function hasNonReimbursableTransactions(transactions: Transaction[]): boolean {
diff --git a/tests/unit/MoneyRequestReportUtilsTest.ts b/tests/unit/MoneyRequestReportUtilsTest.ts
index 347d794c48226..3e33207dbc16b 100644
--- a/tests/unit/MoneyRequestReportUtilsTest.ts
+++ b/tests/unit/MoneyRequestReportUtilsTest.ts
@@ -149,13 +149,23 @@ describe('MoneyRequestReportUtils', () => {
             expect(isBillableEnabledOnPolicy(undefined)).toBe(false);
         });
 
-        test('returns true when defaultBillable is not disabled', () => {
-            const policy = {disabledFields: {defaultBillable: false}} as unknown as Policy;
+        test('returns true when policy is paid group and defaultBillable is enabled', () => {
+            const policy = {type: CONST.POLICY.TYPE.TEAM, disabledFields: {defaultBillable: false}} as unknown as Policy;
             expect(isBillableEnabledOnPolicy(policy)).toBe(true);
         });
 
-        test('returns false when defaultBillable is disabled', () => {
-            const policy = {disabledFields: {defaultBillable: true}} as unknown as Policy;
+        test('returns true when policy is paid group and defaultBillable is missing', () => {
+            const policy = {type: CONST.POLICY.TYPE.CORPORATE, disabledFields: {}} as unknown as Policy;
+            expect(isBillableEnabledOnPolicy(policy)).toBe(true);
+        });
+
+        test('returns false when policy is paid group and defaultBillable is disabled', () => {
+            const policy = {type: CONST.POLICY.TYPE.TEAM, disabledFields: {defaultBillable: true}} as unknown as Policy;
+            expect(isBillableEnabledOnPolicy(policy)).toBe(false);
+        });
+
+        test('returns false when policy is non-paid group', () => {
+            const policy = {type: CONST.POLICY.TYPE.PERSONAL, disabledFields: {defaultBillable: false}} as unknown as Policy;
             expect(isBillableEnabledOnPolicy(policy)).toBe(false);
         });
     });