As a condition of raising business finance, Directors are often required to provide additional security to the lender by signing a Personal Guarantee. By signing a Personal Guarantee, the Director is placing his or her personal estate at risk; if the business fails the lender can seek recoveries from the Director personally.
In most cases, signing a Personal Guarantee can be a key component in securing business finance. Directors are, therefore, willing to provide a Personal Guarantee to secure business finance so their business is able to pursue its growth objectives.
Despite the best intentions of Directors, things can sometimes go wrong – things which are often outside of their control such as failure of customers or suppliers, regulatory changes or macroeconomic factors. In the unfortunate event the business becomes insolvent, the lender can call on the Personal Guarantee to recover some of the shortfalls due on the outstanding finance obligations that the business owes to the lender.
Personal Guarantee Insurance is an annual insurance policy that provides Directors with cover in the event the business lender calls on their Personal Guarantee following insolvency.
Key features include:
1. Competitive premiums and cover available across a wide range of business loans
2. Insurance available for:
a. Existing or new Personal Guarantees
b. Multiple Personal Guarantees
c. One or more guarantors
3. Unlimited access to Business Support Services; a group of specialist advisors who are at your side should your business need support
4. Full quotation in minutes using our online quote and buy system or via telephone with one of their specialist advisors
5. Insurance policy insured by Markel International, an A-rated leading insurer
For a quote please click here.
Full quotations usually issued within 48 hours of submitting an application