Excess Insurance Bond Protects Deposits In Excess of FDIC Limits
Chicago-Based Parr Insurance Brokerage Unveils Policy
(CHICAGO) August, 2015 – Both financial institutions and large depositors will benefit from the excess Deposit Insurance Bond (EDB) now offered by Chicago-based Parr Insurance Brokerage that guarantees payments in excess of the Federal Deposit Insurance Corp. (FDIC) $250,000 limit.
The single-policy program, which will protect deposits up to $10 million, enables banks and credit unions nationwide to help attract larger deposits, avoid pledging securities and facilitate compliance with state regulations. EDB features easy-to-use applications and forms; premiums based on limits used, not on limits available; and, with its competitive rates, is more cost effective than brokered deposits.
For depositors, in addition to the robust $10 million maximum limit, the EDB maintains insured status and the right to file a claim, and offers a certificate of insurance issued in the depositor’s name.
“This comprehensive protection streamlines the process for banks and credit unions to manage much greater sums of cash and better serve their clients,” said Melissa Neis, vice president of Parr Insurance Brokerage, which has extensive experience insuring financial institutions and also specializes in protecting high-net worth individuals and families.
“In turn, the EDB offers a guarantee to government entities including municipalities, school districts and park districts that the substantial sums of cash they often generate via referenda and bond issues will be protected,” added Neis.
Individuals, too, can benefit from the EDB, according to Neis. “We know of cases where a person receives a major inheritance of several million dollars and, yet, has issues when faced with the FDIC limits when planning to deposit the huge sum,” she said. “Those concerns are alleviated with this policy.
“And, for those individuals and government units who prefer to keep their money ‘at home’ in the community at a local institution, the EDB can help.”
Additional information regarding the application process, limits, rates and other criteria are available by visiting www.parrinsurancebrokerage.com or contacting Melissa Neis at 773.489.3001 or melissa@parrinsurancebrokerage.com.
Parr Insurance Brokerage is rated A.M. Best A (Excellent).
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