Additional benefits

  1. Provision of a readily available fund. The cash value is obtained quickly and without publicity when a business has a sudden need for cash to take advantage of unexpected opportunities or to meet unforeseen emergency expenses.
  2. The cash value is ideal for a bank loan because it has a guaranteed market value that increases with the passage of time. The business can borrow on the cash value if the insurance company’s interest rate is lower than the bank rates.
  3. The cash value appearing on the balance sheet indicates sound financial management with long-range planning. Creditors are obviously more willing to look favourably on a company that has insured its human assets. Please note that these additional benefits are subject to the type of insurance purchased, Term Assurance has no cash value.