What is PGI?
Your business takes risks. Your family shouldn't.
Separate what you've built from what you could lose.
What is Personal Guarantee Insurance?
Personal Guarantee Insurance (PGI) is specialty insurance designed to help business owners cap personal financial downside arising from the enforcement of a personal guarantee supporting a business loan or obligation. If your personal guarantee is enforced and you incur a covered personal payment obligation, PGI may reimburse a covered portion—subject to underwriting and policy terms, conditions, and limits.
When you sign a personal guarantee, you're putting your personal wealth on the line. PGI is designed to transform this open-ended risk into a known, manageable insurance premium—subject to policy terms.
Common Questions
You may purchase a PGI policy when entering a business loan that requires a personal guarantee. If the guarantee is later enforced and you incur a covered personal payment obligation, the policy may reimburse a covered portion, subject to the policy's terms, conditions, limits, and claims-made requirements.
PGI may cover personal guarantees supporting many forms of business financing, including term loans, lines of credit, equipment financing, commercial real estate loans, acquisition financing, and certain government supported SME loans—subject to underwriting and jurisdiction.
Coverage depends on deal structure, financial profile, jurisdiction, and underwriting. Policyholders typically retain some exposure, and the policy may reimburse a defined portion, subject to terms, conditions, and limits. Contact us for a quote based on your specific situation.
The best time is before or when you sign the personal guarantee. In some cases, existing guarantees may be eligible, subject to underwriting review of loan status, performance, and timing. Whether you're refinancing, acquiring a business, or expanding operations, speak with a licensed professional about your options.
Why Business Owners Choose PGI
- Cap personal downside — Coverage may reimburse a covered portion of your personal payment obligation, subject to policy terms
- Access growth capital confidently — Take on financing without betting your family's future
- Convert risk to a known cost — Transform unpredictable exposure into a budgetable premium
- Move faster on deals — PGI is built for deal speed, not bureaucratic delays
- Professional risk management — Sophisticated operators manage downside. This is what they do.
More Questions
PGI is a contract between the policyholder and the insurer. Your personal guarantee with the lender remains fully enforceable. If you're considering discussing insurance in the context of your financing, consult your broker and deal counsel.
Claims are governed by the policy. Generally, a covered claim may arise when the guarantee is enforced and you incur a covered personal payment obligation. Coverage applies only to claims made and reported during an active policy period with premiums paid in full, subject to the policy.
Premium varies based on the guarantee amount, loan type, your business's financial health, and your credit profile. When compared to the potential cost of losing your home or life savings, most business owners find PGI provides meaningful value. Get a quote to see your specific cost.