The goal of premium financing policy is to have the policyowner pay as little out-of-pocket as possible for a life insurance. High-net-worth individuals who need substantial life insurance coverage for estate or business planning often do not want to liquidate their investments or use their current cash flow to pay for life insurance premiums. Instead, they finance permanent life insurance premiums via third-party lenders.
In a typical premium financing arrangement, an individual applies for an insurance policy. At the same time, the individual applies for a loan from a lender, usually arranged by the insurance company. While the individual is being medically underwritten for the insurance policy, he is also being financially underwritten for the loan. Once the individual is approved, the lender lends the money for premiums.
Reasons to consider premium financing:
To learn more about Premium Financing, please fill out “Get a Free Quote” form above or call us at Toll Free number (888) 592-7862 and one of our agents will be happy to assist you.