Crump Insurance Services, part of New Jersey-based Crump Group, has launched personal guarantee insurance for business owners putting up their own personal assets against business loans. The product was built for small to medium-size businesses.
The company will cover all types of industries, but Crump specifically designed it for established business owners with ongoing personal financial obligations, multiple partners guaranteeing a single-bank loan, commercial real estate investors and non-owner guarantors.
The product will cover loans between $500,000 and $5 million. Coverage is available for up to 70 percent of the insured’s net liability, though the highest available limit is $2.5 million. Premiums are based on the size of the loan and the characteristics of the risk, and the insurance is only available after the commercial loan has been originated.
Coverage is available nationwide, except in Arkansas, Florida, Georgia, Hawaii, Maine, Montana, Nebraska, New Hampshire, New York, Rhode Island, and Washingon.