Data:2009-12-12 2:34
Category: Insurance tips Release Date: 2006-08-01
According to banking and insurance people in the trade, insurance policies, only life insurance policy can be used for mortgages. This is because the pledge is a guarantee claim form, the debtor's possession of his property transferred to the creditor as a secured creditor's claim. When the debtor is unable to perform debt, creditors can easily be discounted collateral materials, sell or auction in order to achieve their claims.
It can be seen that a key pledge of the policy depends on whether the exchange value of collateral materials. At present, the nature of life insurance with savings, investment dividends, insurance, pension insurance, life insurance contracts, as long as the insured to pay premiums for more than a year, the policy will have a certain cash value. At this point, regardless of whether the occurrence insurance, accident insurance, regardless of whether the policy remain in effect, has accumulated some of the cash value of the loss is not the insured can request the return of that part of the cash value of insurance companies in order to achieve debt. The property insurance contract, the insured claims for insurance payment depends on the security incidents happen, and if there is no insurance, accident, the insured can not obtain insurance. Therefore, the property insurance policy in itself does not have a cash value, thus can not serve as collateral evidence. In addition, the policy mortgage loan is conditional. Some of the long-term life insurance provisions of the insured to pay premiums for more than two years, and two years of insurance period, insurance professionals present their applications for insurance as security for loans. The timing and amount of policy loan also has a limit. It is understood that the policy loan is shorter, generally a maximum of only 6 months, the loan amount can not exceed the cash value of insurance policies at that time a certain percentage, this ratio in various insurance companies have different requirements. Thus, experts suggest that making policy loan should be carefully considered before.
