Our Life Insurance for SBA Loan 3 Step Process
We work with SBA Borrowers (and Lenders) to provide life insurance for SBA Loans.
Simply put: We secure coverage the fastest, make the process simple and have special programs for those having a hard time securing coverage.
Here’s how it works:
Step 1: Fill out our quote form anywhere on our website or call us.
Step 2: We get you approved for a life insurance policy within 24 hours with the required collateral assignment form (if you qualify health wise).
Step 3: After the collateral assignment is signed and notarized by you, we rush the “recording process” where the life insurer has to sign off on it. This process can take up to 3 weeks and we’re able to get this through within 5-7 business days in most cases.
Every day, we work with SBA lenders across the nation and have the experience and knowledge to get this done quickly so you can get the funding for your business as soon as possible. We understand this is crucial for you and it needs to be handled in a professional and time-sensitive way.
You’ll be working with an SBA life insurance expert the whole time. You’ll have a direct line with any questions or updates. We do this all day, every day with business owners looking to secure coverage quickly, affordably and with an agent who understands the process you’re going through.
Life Insurance for SBA Loans
A life insurance policy is required to secure a small business loan when the business is tied to an individual which is almost all cases.
Specifically under SOP 50 10 5 (B), the “lender must determine if the viability of the business is tied to an individual or individuals. In these situations, the lender must require life insurance”.
When a life insurance for SBA loan policy is in place, the lender will either be named on the collateral assignment form (most common request) or as the beneficiary with special wording. Your lender will provide specific instructions. You can either get this information from your lender or put your lender in touch with us and we’ll take care of it.
If You’ve Been Declined For Life Insurance
When life insurance agents and consumers can’t secure life insurance coverage for SBA loans due to health and lifestyle issues, they come to us. Don’t let a decline get in your way of receiving your coverage.
If we can’t secure coverage through traditional life insurance carriers, we have access to a special program SOLELY for those who have been declined for coverage and need the coverage for an SBA loan. All it requires is a 1 page application, a copy of the bank loan document and the premium payment. Sample cases we’ve placed where other companies have declined or postponed:
1. $1,000,000 on a 42 year old male with high liver enzymes. Traditional carriers postponed coverage. We had a policy in force within 48 hours.
2. $325,000 on a 35 year old female who entered a drug rehab program 2 years ago.
3. $2,500,000 on a 60 year old male who had his Prostate removed last year due to Prostate Cancer.
Need Coverage Fast (and can’t qualify for a non-med policy)? Consider Short Term Life Insurance Coverage
If you can’t wait 30-90 days to get a life insurance policy in force, we have a program that will issue coverage while you wait for your coverage to be approved. This company can issue coverage for 30, 60 or 90 days with a collateral assignment. This will allow your loan to fund while your application is still in underwriting. (However, we’d need to speak with your lender directly to confirm this is ok and it usually is)