How Does Insurance Premium Financing Work?

Insurance agents partner with Compass Premium Finance to offer financing to their commercial business clients.  Clients in need of financing to cover an insurance policy or multiple policies will sign an agreement with Compass Premium Finance. Based on that agreement, the client will submit a down payment and Compass Premium Finance pays the remainder of the premium amount. The client will then make payments on the loan to Compass Premium Finance, as stated in the loan agreement. The insurance policy serves as collateral to secure the loan with Compass Premium Finance, facilitating an effortless application and approval process.