Why should I use Heritage Premium for my premium financing needs?
Heritage Premium has been acknowledged as a leading broker of premium financing in the Top 10 in Texas as ranked by TDI. We act as your advocate with some of the largest premium finance companies in the U.S. When you have a situation that requires special consideration, we work to create a solution. Our day does not end until yours does.
What are the benefits to my insured to using premium financing?
They can maintain their existing credit capacity; their bank lines are not affected. They may consolidate multiple policy premiums under one finance contract. This eliminates the requirement for a large up-front payment to an insurance company.
What is an insurance premium finance agreement?
This is a promissory note or written agreement by which an insured promises to pay an insurance premium finance company the amount advanced to an insurance company in payment of premiums together with a service charge as authorized.
How does premium financing help my insured?
Premium financing gives insureds a cost effective way to pay for their insurance premium in monthly payments instead of paying a policy in full. There are many different ways to make the payment.
What type of payment is accepted for the down payment?
The agents collect the down payment from the insured payable to the agency and send an agency check to the General Agent so that they can withhold their commission. ACH and Credit Card options are also available.
What payment options are available to the insured for the monthly installments?
The insured may set the payment up on a monthly
ACH withdrawal from their bank account. The insured
may send a personal check, business check, or certified
funds to the mailing address on the invoice. The agent
may make the payment online with the insured’s
bank routing information or the agency bank routing
information. The insured may create their own logon
and make their payment online. The insured may make
a payment with a credit card through a third party.
Once I have collected the down payment and signed finance agreement, what is the next step?
Email to email@example.com or fax to 1-480-287-9854 a copy of the signed and dated finance agreement to Heritage Premium. Send the down payment to the General Agent.
Do I need to mail the original signed finance agreement?
No. You may send a copy with the down payment to the General Agent. Place the original in your file.
What companies and general agents can be placed on a finance contract?
We have over 3,000 companies (B+ or better rated by Best) and General Agents in our database that we do financing for. Several different policies containing different companies and GA’s can be placed on a single finance contract as long as they are all for the same named insured. We are not able to finance direct bill or fully earned policies.
Can an endorsement be added to an existing finance agreement?
Yes, additional policies or additional premium can be added with the following conditions. There must be at least 3 payments remaining. The endorsement must be for $500 or greater. The existing agreement must be current and no payment due within 5 days.
When is a payment late, and how are the late charges determined?
A payment is late when it is not received at the premium finance company by 10 days after the due date. The late charge is assessed according to the state regulations, normally 5% of the payment amount.
Can a down payment be made
with a credit card?
Down payments can be made with a credit card but third party fees do apply.
Monthly payments can be made to the
finance company with a credit card
but are processed through a third party and fees do apply.
Can fully earned premiums be financed?
No, fully earned premiums cannot be financed.
Can a workers compensation policy be financed?
Yes, as long as the policy is not on reporting forms. If it has monthly or quarterly reportings, it cannot be financed. Some companies such as Texas Mutual have 40 day cancellations requiring a larger down payment.
Can a Texas Windstorm policy be financed?
TWIA will not accept a check from a finance company. To finance a windstorm policy use the following steps: Complete the finance agreement. Collect the down payment from the insured. Write an agency check for the full amount payable to TWIA and make a copy of that check. Fax or email the finance agreement and a copy of the agency check to Heritage. The financed amount will be sent to the agency. Send the agency check to TWIA for the full amount.