Insurance Premium Financing (IPF) is a facility that enables you to pay your insurance premiums in installments rather than in one lump sum amount. IPF is only taken for short term policies, that is, those that are renewable annually.
Examples of such insurance policies:
Fire and perils
Motor – Commercial or Private
Contractors all risk
IPF allows an organization to obtain needed coverage without liquidating other assets or offering up collateral as with ordinary loans. For organizations, multiple insurance policies can be attached to a single premium finance contract allowing for a single payment plan to cover all insurance coverage.