Don't Waste Personal DI Benefits on Business Loans

The Small Business Administration and countless non-governmental, commercial banks lend billions of dollars in capital to tens of thousands of American professionals every year. Those professional men and women are your clients and your business prospects. Many of them make the serious mistake of assigning personal disability policy benefits to lending institutions in cooperation with business loan agreements.

[if gte vml 1]><v:shapetype id="_x0000_t75" coordsize="21600,21600" o:spt="75" o:preferrelative="t" path="m@4@5l@4@11@9@11@9@5xe" filled="f" stroked="f"> <v:stroke joinstyle="miter"></v:stroke> <v:formulas> <v:f eqn="if lineDrawn pixelLineWidth 0"></v:f> <v:f eqn="sum @0 1 0"></v:f> <v:f eqn="sum 0 0 @1"></v:f> <v:f eqn="prod @2 1 2"></v:f> <v:f eqn="prod @3 21600 pixelWidth"></v:f> <v:f eqn="prod @3 21600 pixelHeight"></v:f> <v:f eqn="sum @0 0 1"></v:f> <v:f eqn="prod @6 1 2"></v:f> <v:f eqn="prod @7 21600 pixelWidth"></v:f> <v:f eqn="sum @8 21600 0"></v:f> <v:f eqn="prod @7 21600 pixelHeight"></v:f> <v:f eqn="sum @10 21600 0"></v:f> </v:formulas> <v:path o:extrusionok="f" gradientshapeok="t" o:connecttype="rect"></v:path> <o:lock v:ext="edit" aspectratio="t"></o:lock> </v:shapetype><v:shape id="Picture_x0020_2" o:spid="_x0000_s1026" type="#_x0000_t75" style='position:absolute;left:0;text-align:left;margin-left:2.45pt; margin-top:325.4pt;width:135.7pt;height:73.95pt;z-index:251642880; visibility:visible;mso-wrap-style:square;mso-width-percent:0; mso-height-percent:0;mso-wrap-distance-left:9pt;mso-wrap-distance-top:0; mso-wrap-distance-right:9pt;mso-wrap-distance-bottom:0; mso-position-horizontal:absolute;mso-position-horizontal-relative:text; mso-position-vertical:absolute;mso-position-vertical-relative:page; mso-width-percent:0;mso-height-percent:0;mso-width-relative:margin; mso-height-relative:margin'> <v:imagedata src="file:///C:\Users\BRENTL~1\AppData\Local\Temp\msohtmlclip1\01\clip_image001.jpg" o:title=""></v:imagedata> <w:wrap type="square" anchory="page"></w:wrap> </v:shape><![endif][if !vml][endif]Most lenders require these loans, no matter how large or small, be partially or fully insured in case of the disability of the borrower. Insurance demands are a regular part of every business loan agreement. But, don’t let your clients fall into the common, yet potentially devastating, trap of sacrificing personal DI benefits to financially indemnify a loan requirement.

As an insurance advisor, you prescribe your clients disability insurance to protect their incomes. Those benefits are earmarked for the replacement of earnings to cover life’s most fundamental expenses. Personal DI benefits are for them and their family, not the bank.

So, how do your clients effectively and affordably satisfy lender requirements for disability insurance without tapping into their personal DI resources? The answer is Loan Indemnification Disability Insurance. Be sure to ask us how this unique product can open the door to great referral opportunities as well.

Featured Posts
Recent Posts
Search By Tags
Follow Us
  • Facebook Basic Square
  • Twitter Basic Square
  • Google+ Social Icon