Life Insurance Premium Lending1

Grow, Preserve and Transfer Your Wealth

Life insurance plays a vital role in your wealth preservation plan, providing peace of mind knowing your loved ones are financially protected into the future while enabling you to achieve your generational goals2.

City National's advisors can guide you toward optimizing your cash flow and planning effective tax strategies2, which addresses the financial strains that large premiums can bring. In its simplest form, life insurance premium financing involves borrowing funds to pay the premiums while the underlying policy value provides the collateral for the loan.

Financing for Strategic Advantage

We work with you to determine the best strategy for managing life insurance premiums, remaining focused on your financial goals, while introducing various strategies to reduce tax consequences and ensure funding of premium requirements2. The proper structure for your particular financing arrangement could be a personal loan or financing through an Irrevocable Life Insurance Trust (“ILIT”).

We specialize in developing, implementing and monitoring these customized credit solutions that can protect your wealth, while constantly analyzing your collateral position and premium requirements relative to your objectives.

  1. All loans, lines of credit, credit cards and other types of financing are subject to credit approval. Residential mortgages and home equity products are not available in all states. Ask us for more information about the states City National Bank lends in. Aircraft loans are offered through First American Equipment Finance, a subsidiary of City National Bank.
  2. City National Bank its affiliates and subsidiaries, as a matter of policy, does not give tax, accounting, regulatory or legal advice. Rules in the areas of law, tax, and accounting are subject to change and open to varying interpretations. You should consult with your other advisors on the tax, accounting and legal implications of actions you may take based on any strategies presented taking into account your own particular circumstances.