Commercial insurance premium financing is tightly regulated in Florida as with most states. With government regulation comes a bevy of rules and laws, compliance requirements and mandatory licensing. Here’s a brief overview for Florida agents looking for a solid, full-service premium finance partner.
- The Florida Commissioner of Insurance issues a license for all commercial insurance premium finance companies operating in the state.
- Finance agreements must include the total amount financed, a loan repayment schedule, any down payment needed to secure the loan, and total amount paid over the life of the note.
- Failure to obtain the necessary licenses or articulate exact information in a loan agreement could void the agreement.
- The State of Florida sets maximum fee and service charge amount levied in a business insurance finance agreement, so finance companies tend to compete on serve offering, ease of use and flexibility.