With the development of market economy, the types of pledge stipulated in the Guarantee Law cannot meet the needs of commercial banks' loan pledge, and the insurance policy pledge is a new type of pledge. Policy pledge is related to the business cooperation between banking and insurance, and has broad market prospects. There are great differences between the practical and theoretical circles about the pledge of insurance policies. Insurance policies are divided into property insurance policies and life insurance policies. With regard to the property insurance policy, the Supreme People's Court Law Letter No.47 (1992) of April 2, 2002 "Letter on whether the property insurance policy can be used for mortgage" explicitly prohibits the pledge of the property insurance policy. The pledge should be a specific property that can be discounted or sold. A property insurance policy is a written proof that the insurer and the insured have concluded an insurance contract. It is not a negotiable securities, nor is it a property that can be discounted or sold. Therefore, the property insurance policy cannot be used for pledge. Regarding the personal insurance policy, the second paragraph of Article 55 of the Insurance Law stipulates: "An insurance policy concluded in accordance with a contract with death as the condition for payment of insurance benefits shall not be transferred or pledged without the written consent of the insured". This is almost the only legal provision on the pledge of life insurance policies. Even so, we can infer from the opposite side that it is an indisputable fact that life insurance policies can be pledged. Policy mortgage loan refers to a short-term financing method that the insured applies for a loan from the bank through an insurance company with his personal life insurance policy as collateral. It is a brand-new service measure launched by insurance companies to solve the problem that customers need money urgently in a short time after purchasing insurance and avoid economic losses caused by involuntary surrender. However, the pledge of life insurance policies is not without legal problems. First, the relationship between the beneficiary's right term determined according to the life insurance policy and the pledged loan term. Life insurance coverage and insurance payment period are generally long, which is difficult to connect with the loan period, which is not conducive to the loan management of commercial banks. Second, the property right of the policy belongs to the beneficiary, so the beneficiary is the pledger of the loan pledged by the policy, and the beneficiary should sign a pledge contract with the bank. However, according to the Insurance Law, not only the insured and the insured can change the beneficiary, but also the insured can surrender the insurance midway, which is obviously difficult to guarantee the bank's creditor's rights and control risks. Third, the pledge of life insurance policies lacks legal provisions and is difficult to operate in practice. However, it is undeniable that the impulse of "mixed operation" of bancassurance can bring both parties a win-win situation, and the pledge of life insurance policies will not lose market space because there is no provision in the Guarantee Law. Paragraph 3 of Article 2 1 of China's Insurance Law: "Beneficiary refers to the person who is designated by the applicant or the insured in the life insurance contract and has the right to request the payment of insurance benefits, and the applicant and the insured can be beneficiaries", which clearly stipulates the beneficiary. But this is just a principle, which is generally classified in practice. The beneficiaries of life insurance business of insurance companies are divided into survival insurance beneficiaries and death insurance beneficiaries. The former is generally the insured himself, and the latter can be designated by the insured. The applicant, the creditor and the insurance company shall complete the legal procedures when handling the pledge of life insurance policies. Because when the insured, the insured and the beneficiary are not the same person, they enjoy different policy rights. The applicant has the right to the policy value; The insured has the right to life insurance money; The beneficiary is entitled to death insurance. Therefore, commercial banks should clarify the scope of ownership when setting up policy pledge loans, so as not to dispose of the rights of others and cause unnecessary disputes.