A common short-term borrowing know-how is policy lending. This type of loan involves the insured using its insurance policy as collateral from insurance companies to some cash, the amount of which usually forms part of the actual value of the policy. In the future, you can borrow with a policy. How does that work? I'll tell you。

How does an insurance policy apply for a loan

To apply for a loan using your insurance policy, you need to guarantee that your policy has a cash value. For example, deposit-type major illness insurance, life insurance, annuity insurance and other long-term insurance have cash value. The insured person is entitled to mortgage as a mortgage if he or she has paid insurance costs for more than one year。

You can apply for a policy loan with a valid ID, a policy, etc. Fill in the application, submit the information, and if the review is successful, you will sign the loan contract, and then everything will be easy。

Do you need a guarantor to apply for a policy loan? In fact, it is not necessary for an insured person to take a part of the cash value of an insurance policy as collateral to an insurance company. The only additional condition to be taken into account is that a general insurance policy takes more than two years to hold。

Thus, an insured person or insured person wishing to apply for a policy loan is required to bring an identity card and insurance policy to the business of the insurance company. You need to know that a policy loan cannot be delegated to another person and must be requested by the insured person or the insured person himself. At the time of application, the insured person is usually required to prepare a statement of written consent to the loan application. You can do it online, if you want。

That's it. You've learned all the important information about how the policy is applied for. I hope that this information will help you. Thank you for your reading。