Are insurance loans harmful? What types of insurance can I take out a loan for?

Since I’ve worked for an insurance company before, I can talk about this aspect of insurance loans in a light way!
There are two types of insurance loans: general loans and policy loans. A general loan is a loan provided by an insurance company to the community as a non-bank financial institution. To ensure the repayment ability of the insurance company and the safe return of insurance funds, such loans are generally subject to guarantees. According to the form of guarantee can be divided into: real estate mortgage, securities mortgage, credit guarantee loans (such as consortium guarantee, bank guarantee, etc.). The loans can be made to countries, international institutions, government-related agencies, public bodies, businesses, consumers, etc.
Policy loans, on the other hand, are loans made by insurance companies to policyholders based on life insurance contracts, also known as policy pledge loans.
So insurance loans are harmless. Let’s talk about which types of insurance can be loaned!
Generally speaking, long-term life insurance, critical illness insurance and annuity insurance, whole life insurance, whole life critical illness insurance, participating insurance, annuity insurance and universal life insurance can be used for loans. The reason these long term insurance policies can be used for loans is because the policies have a cash value.
Cash value: This is usually the amount that is refunded by the insurance company when the contract is terminated, calculated according to actuarial principles. In fact, to put it plainly, the cash value is the money we can get back when we surrender the policy, the amount will change with time, the specific data will be written in the insurance contract.