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0:43
YouTube
Insurance Exam Prep
Collateral Assignment Explained — Use Life Insurance to Secure a Loan
Your life insurance policy can be used as collateral for a loan — and the lender gets paid first if you die before it's repaid 💡 Collateral assignment is a temporary, partial transfer of rights to a lender. Once the loan is paid off, full control snaps back to you. It's not the same as absolute assignment — confusing the two is a mistake ...
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