PREMIUM FINANCING IN DALLAS, TX
SURELY NOW: YOUR PREMIUM FINANCE EXPERTS
Premium financing offers many advantages for high-net-worth individuals and corporations. It may be an appealing solution for handling premium payments. Since the value of this strategy depends on several factors, your financial services advisor has to review each case on an individual basis.
At Surely Now, we provide our customers with all the options they need to maximize wealth generation. There are several methods to reduce the risks of premium financing while retaining many of the benefits, and it’s something we discuss with our clients.
As with any wealth management strategy in the United States, it’s vital to consult with an experienced professional. Surely Now has helped hundreds of individuals manage their wealth, and we can do the same for you.
WHAT IS PREMIUM FINANCE?
Premium finance is a wealth management strategy that high-net-worth individuals or businesses use to pay the hefty insurance premiums associated with life insurance policies. Instead of paying the premium directly from your assets or cash flow, you finance the premiums from a bank or other third-party lender.
Insurance premium financing is a good option for individuals who have appreciating, illiquid assets — assets that cannot be easily sold for cash. This appreciation may be larger than the interest generated on a bank loan. In these cases, it makes sense to fund the insurance premiums with a third-party loan to achieve a better internal rate of return than paying from the assets directly.
BENEFITS OF PREMIUM FINANCE
Benefits of premium financing include:
- Leverage
- Creditor protection
- Tax-free growth and distributions
- Reducing out-of-pocket cost for life insurance
- Downside protection
- Taking advantage of the insurance company’s crediting rate
- No Contribution limits
As any wealth manager will know, any leverage can produce long-term wealth gains. Premium financing strategies can provide additional leverage for wealth generation.
WHO SHOULD CONSIDER INSURANCE PREMIUM FINANCING
Premium financing is especially attractive for younger individuals under the age of 60, but Surely Now can design a premium financing strategy for clients up to 70 years old.
