Before entering into a premium finance loan, we can work with you during the Due Diligence process to help you assess the premium finance company:
Are finance receivables being administered properly? i.e. are accounts cancelled on a timely basis or are they "held" too long
Are receivables due from insurance companies followed up on a timely basis?
Are fully refunded accounts written off within appropriate timeframes?
Are the correct fraud prevention and detection controls in place?
What percentage of the receivables are funded to agents? What controls are in place?
- Are underwriting procedures in place to ensure that risks and bad debt losses are minimized?
We can review these and many other items to assess the collateral as well as the operational and financial aspects of the company .
Borrowing Base Creation and Review
We can work with you to review or create the appropriate advance limitations and ineligible receivable items to ensure that your loan is adequately collateralized.
what advance rate do you allow?
what types of policies do you place restrictions on?
are there certain down payment requirements?
which loans are ineligible?
Premium Finance is a complex industry. There are many important procedures and processes that need to be in place.