Non-Recourse Life Insurance FAQ

What happens if the person insured dies within the term of the policy?

The beneficiaries of the policy will receive the whole amount of the policy minus the financing, interest and any fees up to the point.

Who can be the beneficiaries of a non-recourse life insurance policy?

The beneficiary can be any entity, such as a trust, people or charity.

Can the person insured change the beneficiary?

Yes, the person insured can change, pick and choose anyone or any entity as the beneficiary at anytime.

If I have a life insurance policy already, can I still get a non-recourse life insurance policy?

Even if you already have a traditional life insurance policy, you can still join a non-recourse life insurance financing program.

Does designating charity organizations to benefit be considered charitable giving?

Yes. The death benefit or the proceeds of the sale of the policy can be given to a charity of your choice.

What restrictions on the proceeds on the sale or benefits on the matjurity of the non-recourse life insurance policy?

There are no restrictions on the amount collected from the life insurance policy.

Are there any collateral needed to qualify for this life insurance?

No collateral or even a personal guarantee is ever needed. The insurance policy is actually the collateral and guarantee that the banks used.

What is the interest rate for the policy?

The interest rate on the life insurance financing packages will vary from bank to bank.

Are the interest rates fixed or adjustable?

Interest rates are always on a fixed basis for non-recourse life insurance premium programs.

What out of pocket fees are there?

The majority of the banks offering this policy will not require any out-of-pocket fees but there may be some that do require underwriting/origination fees.

Can the insured pay off the lender financing at any time?

Yes, the insured can pay off the lender financing at any time during the term of the policy.

Can the insured cancel and terminate the contract at any time?

Yes, the insured can cancel the policy by relinquishing the policy to the bank or lender in satisfaction of the financing program in full, with no further liability or obligations.