Suppose an individual finds it challenging to choose which type of principles best to use when insuring their property. In that case, they have to look for a practical way of acquiring information, which will be online insurance courses as the recommended route. Learning the lessons is the cheapest way. There is much time saved compared to an individual sparing more time to visit an Agent for a similar purpose. 

However, it may require much patience if the online systems are down, and the IT experts may take longer to repair. Though, this issue rarely happens.

It’s a less expensive route.

A more friendly path to your pocket will save more for your budget planning. It will mainly involve visiting the websites rather than seeing an Agent. Agents will require you to pay an extra fee which is a commission for the insurance company to the agent. Therefore online, the policy of an agent is scraped off.

If you want to become a life insurance agent or an accident & sickness insurance agent in Canada, you’ll need to pass the four modules of the LLQP exam. This guide contains all of the Find LLQP Exam Here is the information you need to be successful when you take your life insurance agent’s exam.

Transparency of insurance companies

When dealing with online insurance course fundamentals, companies are transparent with their charges on various modes of insurance, such as life insurance and vehicle insurance. These charges are portrayed on their websites. However, if an individual decides to deal with an Agent, it might not be clear that the agent’s costs may be spiked. 

With an agent, it is negotiable if a client feels the charges are way high, unlike on the online platform where they are fixed. In addition, some insurance companies offer discounts to their customers. 

Educative means

Online insurance course fundamentals offer instructions to clients via the convenience of their phones and laptops on issues related to coverage on properties to be insured. For instance, if a client decides to insure a vehicle worth 50,000 with 30,000 shillings, it will not be considered such compensation cannot occur. It’s also impossible to guarantee an item more than its value.

It’s just a phone call away.

The online insurance course fundamentals facilitate the packaging of things how they want a client to get them. If the bundles become too complicated for a client, then the website provides a number for them to call. It can also help you get through to the manager in case serious issues arise. 

One of the most required items for a smooth transition to online insurance is providing complete and accurate information to the insurance company. Once payment is made, all other services have a high chance of going through.

What is insurance premium financing all about?

Insurance premium financing, IPF in short, is a loan product given to the insured to pay for insurance premiums in life insurance by a third party. This is done by signing an agreement between the customer, insurance company, who is the guarantor, and the bank which provides the money for the loan or simply finances the process (financier).  

Premium financing is dedicated to finance life insurance. After signing the agreement, that can go up to a year or until the policy matures, the bank which is the premium finance company pays the premium and charges the customer or the company taking the loan and this is paid in monthly intervals. 

The types of insurance premium finance in life insurance 

Traditional recourse premium finance (estate premium-oriented) 

In this, the customer agrees to a securitized loan with intent to hold that loan until the policy matures. This insurance premium is bought for estate exchangeability demand. Therefore, this can be very helpful to those customers that have a large net worth e.g. $5 million and above. 

Non-recourse premium finance  

This type of premium finance is available for the customer who may not have a high net worth but makes a goodly earning e.g. $200,000. Cash is the accepted security making it unsuitable for customers with illiquid assets. Also, the securitized investment may be held by the customer’s investment team so long as it is guaranteed with third party verification, yearly. 


  • Removes the demand for a large in-advance payment to the insurance company. 
  • Many policies can be placed in one premium finance contract that make it easy to pay for all insurance coverage once. 
  • Financing is an open process to the insured thus no money can be lost in the process. 

The risks involved 

The risks associated with insurance premium finance are: 

Qualification risk 

The customer must qualify to have their loan renewed each time. In the event that the security falls below a certain point, the customer will have to provide more collateral to secure the loan. Also, the loan can be offered at a higher rate than what was previously offered. Whatever it may be, there can be risks due to the policies or change of these policies by the bank. 

Interest rate risk 

Depending on the economy, the interest rates of the bank may rise or fall. In the event that the interest rates rise, this will be a disadvantage for it will take away the benefits that a customer intended to have in the first place. 

Policy earning risk 

In the event that the policy of the insured is willingly terminated before maturity due to the loan, the customer will incur the cost of providing more security to pay off the loan debt. 


There are many businesses that would like to explore this scheme and have their families secured and also want good retirement benefits. Therefore, using insurance premium financing can be effective in achieving their goals but before taking this route it is important to consider the factors involved.  

Insurance solutions with premium financing