Business Loan Protection
Purpose of Business Loan Protection
A business may have difficulty meeting its funding commitments or providing more security on a loan if a business loses one of its owners or key people. Business Loan Protection insurance covers this.
– Who is the person/s on whom the firm’s success and profitability depends on?
– If something happened to that person, would your business have difficulty meeting its commitments?
– Would the bank call on the loan if one of the people providing security passed away?
How does the policy help?
It provides cash to repay all or part of the loan. This takes away the burden of meeting funding commitments.