Why Use Premium Financing

  1. Why would I want to finance my insurance with IFS when the insurance company offers a free company installment plan?  Unlike insurance companies, IFS offers you and your client the choice of more plans with greater flexibility.
  2. How is premium financing different from bank financing? Unlike banks, we do not require that you have a certain percentage of the premiums that you finance on deposit as "collateral". Financing premiums through IFS does not affect any existing bank credit arrangements. Our rates, which are comparable to rates in the short-term market, are competitive. The most important cost consideration is how much return your company can make with the additional working capital.
  3. What are the benefits of financing your insurance policy instead of paying in full? Think of your insurance as an asset. Why pay your entire insurance premium in one lump sum when you can spread the payment throughout the year and use the additional working capital for business growth or income-producing purposes? Financing premiums improve cash flow and preserve your working capital.
  4. What is the minimum/maximum premium amount that you can finance? We have no minimum or maximum premium amount we will finance. That said the service charge and our monthly payments have to be a minimum of $20 each
  5. I thought premium financing was only for facility and hard-to-market clients? Absolutely not! While we adopt a flexible approach to financing hard-to-market clients, we finance all kinds of risks including hotels, real estate developers, neighbourhood stores, trucking fleets, bridge constructions, farm assets and regular personal lines business.
  6. Can IFS help with late payment cancellations? Compared to Insurance carriers IFS has a proven hands-on client retention process resulting in a 50% reduction in cancellations after an intent to cancel letter has been sent. We are much more lenient than company pay plans for both late payments and NSFs. The insurance carrier will not be made aware of late payments or NSFs. The only time the insurance company will be notified is if we have to cancel the policy for non-payment, the benefit here is that NSFs will not be taken into consideration when the insurance carrier is rating the renewal premium.

Call us at 1-800-565-1153 for more details or e-mail us at info@ifs-finance.com to discuss your special needs.