nsurance Company Term Heane These term loans usually have final maturities in excess of seven years These companies do not have compensating balances to generate additional revenue and usually have a prepayment penalty Loans must yield a return commensurate with the risks and costs involved in making the loan As such, the rate is ty pically higher than what a bank would charge but the term is longer 21-721-7 Insurance Company Term Loans These term loans usually have final maturities in excess of seven years. These companies do not have compensating balances to generate additional revenue and usually have a prepayment penalty. Loans must yield a return commensurate with the risks and costs involved in making the loan. As such, the rate is typically higher than what a bank would charge, but the term is longer