Insurance Premium Finance
Loans granted to individuals and corporates for the purpose of paying insurance premiums to an insurer for general insurance cover.
Interest Rates
Base Rate + Risk-Based Margin
Note: Risk Base margin rate will depend on customer segment Ruling Personal loan rate applicable, and Negotiable for corporates
Facility Amount
As per insurer’s invoice
Security
Personal:
Unsecured ( Supported by letter of undertaking)
Cash
Real Estate
Disbursement
Payment is direct to the insurer who shall be required to confirm in writing the Bank’s endorsement on the policy as a first loss payee (claim beneficiary)
Term
Maximum of 9 months
SMEs/ Corporates:
The following will be considered but not limited to:
- Corporate Guarantees
- Real Estate
- Cash
Requirements
Individuals
- Quotation from a registered insurer or insurance broker plus
- Completion of insurance proposal forms
- Pay slips for the past three months
- Letter of undertaking from employer
Additional Requirements for individuals
- 3 months active account or 6 months statement from other Banks
- Deposit of 3 months premiums.
- Insurance policy rights ceded to the Bank.
- Gross income ratio of not more than 65%
- Clean CRB Report
Businesses and Corporates
- Audited accounts
- Management accounts
- 12 months cash flow projections
- Memorandum/Articles of Association
- Board resolution to borrow
- Partnership Agreements/Trust deeds if business is a partnership or Trust
- Clean CRB Report
- 12 months cash flow projections
- Memorandum/Articles of Association
- Board resolution to borrow
Insurance Premium Finance Process Flow
- NICO General Insurance shall generate quotation to client
- NICO General Insurance shall issue a receipt for the three months Insurance cover as per IPFs product feature
- NICO General Insurance refers client to NBs Bank Plc for the Insurance Premium Financing (IPF) Process
- NBS Bank Plc receives all required documentations and requirements for
screening - NBS Bank Plc facilitates the Credit processing and reviews
- NBS Bank confirms IPF to NICO General Insurance
- Once a decision has been made on the credit application, it will be communicated to the customer for offer letter signing
- NICO General Insurance provides insurance cover immediately after approval confirmation
- NBS Credit team facilitates documentation process and security perfection where applicable
- Disbursement to be paid directly to NICO General Insurance NBS Bank account
- NBS Bank shall be responsible for monitoring and ensuring that the IPF loans are performing
- NBS Bank to be notified on all amendments, deletion and cancellation of Insurance cover
How To Make a Claim
In the first instance, claims or any circumstance that may lead to potential claim should as soon as practically possible be notified to:
| Blantyre | Lilongwe | Mzuzu |
NICO General Insurance Company, info@nicogeneral.com | Tel: 2651751366 info@nicogeneral.com | Tel: 2651312876 info@nicogeneral.com |
Or contact your authorised insurance broker.
You will be required to supply the following information:
- Details of event which has given rise to claim.
- Your policy details such as policy number and name.
- Extent of damage or loss.
- Details of other insurance(s) covering the same event.
- Information and proof in support of the claim.
- You may make no admission or statement of liability or make any offer if any other party or parties are involved.