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Premium Financing
Fund Big Policies Without Liquidating Assets
Premium financing helps you preserve cash while protecting wealth.
High-value life insurance is a cornerstone of many estate and wealth transfer plans—but funding it doesn’t have to drain your liquidity. At Herbert Financial, we help clients use premium financing to borrow funds for large policy premiums while retaining control over their capital.
This strategy allows you to secure substantial coverage without interrupting investments or depleting working cash. Banks provide loans secured by the policy’s value and personal guarantees, with flexible repayment options. For high-net-worth individuals and business owners, it’s a powerful way to protect future generations without disrupting today’s financial strategy. We help structure the right solution with clarity, compliance, and long-term performance in mind.
What is Premium Financing?
Premium financing is a wealth planning strategy that involves borrowing funds from a third-party lender to pay for high-premium life insurance policies. These policies are typically used for estate planning, tax mitigation, or legacy creation. The loan is secured by the policy’s cash value and/or additional collateral, allowing the policyholder to maintain liquidity and investment activity elsewhere.
As the policy grows in value, it may be used to repay the loan or serve future planning needs. This approach requires detailed underwriting, legal structuring, and close performance monitoring to ensure alignment with long-term goals.
Estate Liquidity Planning
Cover estate taxes without asset sales.
Wealth Transfer Strategy
Use insurance to pass assets efficiently.
Expert Team
Life Insurance Leverage
Collateralized Loan
Loan secured by policy value or assets.
Service Benefits
- Maintain cash flow and investments
- Secure high-value life insurance coverage
- Minimize estate tax exposure
- Create flexible repayment structures
Document Detail
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Get in Touch
Phone Number
+1 (818) 213-1388
