General insurance Can Insurance Company Give Loan?

[kayode10]

Insurance is good because it makes you prepare for unforseen circumstances. You are not going to be caught unaware with expected bad experience provide you are paying premiums regularly with insurance company you are using.

People obtain insurance for different reasons. There are some people who do business insurance for their companies. This will cover some of the accidents that may occur when the business operation is being carried out.

Some people prefer health insurance and they will do it for themselves and their families members. You are going to be covered some of the medical expenses with health insurance.

There some situation in which someone is paying his premium regularly and nothing happened.

I want to ask that can such person go to the insurance company to obtain loan if he need some money?

 

[Nite]

Some insurance companies do offer loan facilities. Normally, they can give loan upto 80%-90% of the surrender value of the policy, and you can pay interest on yearly or half-yearly basis. The insurance companies not only give financial protection to you, but also helps when you're in need for immediate funds.

 

[btaliat]

I have not heard of this thing before. But it may be possible because insurance is a financial institution. But I do not think they work like banks. The only thing I know about them is that insurance companies can be used as collateral to obtain loan from commercial banks

 

[Chibson]

I think it depends on the kind of insurance company because there are some insurance companies that specialise on giving of loans and also ensuring people's properties or other type of insurance. and sometimes it depends on your country because there are some insurance companies in some countries that also give loans.

 

[Wisdom01]

That is how the insurance company generate more revenue to be able to cover your risk ,so yes they provide loan offer for you , depending on your choice and the one you would actually want to go for , if the interest rate is good enough you can go for it

 

[Mandy96]

Normally if you take a very good look at it, it’s more like a shares business being bought with a certain bank. I mean loan is almost impossible because I don’t think any insurance company would want to take a risk to offer its any client a loan. They could be plans related to it but not exactly it

 

[Jasmine]

You can get a loan from insurance companies. Your premium will be used as collateral and you can get upto 90 percent loan. let say, you have an insurance policy of $1000, let say your pay $100 premium and have paid 5 premiums, with total paid amount of $500. You can get upto $450 loan from your insurance company.

 

[Abigael]

I really don't know if these insurance companies gives loans. But I think it is a great thing for them to I integrate. What I know is that you can easily take loans from anywhere, maybe banks and use your insurance policy as collateral. I read a post somewhere saying that you can get a loan this way.

 

[kayode10]

I don't think it is possible for insurance company to give out loans. The reason is that it is not in their policies to give out loan to the client. Insurance companies only pay you when your policy is due. If you want a loan it will be very good to approach financial institution like bank and lending house. You can also approach friends and family for loans.