Can You Borrow Against Term Life Insurance? 
You can not borrow against Term Life Insurance to get cash from the Term policy , because there is no cash value in Term life insurance . But you can use your Term life insurance policy as collateral to get a loan in some situations . E.g. . The SBA often requires the purchase of a short term life insurance insurance policy when they issue loans . You would need to ask your lender if they are OK with collateral assignment of your policy as terms of obtaining a loan . 