Life insurance requirements from lenders

[Scott Parker]

Hello all, I have an investing question in regard to lenders requiring life insurance. I have apparently reached a threshold with my bank (a million dollars in loans) and they are requiring me to get a million in life insurance with the bank as beneficiary.  Is this standard or common practice? I thought my properties were collateral enough. My properties and financials are great, I have no vacancies, they all cash flow very well, and most appraise at 20-30 thousand more than I paid. It seems as if I am having to pay to do business with this bank besides the money they are making on the mortgages. If this is common practice, would it be unreasonable to ask them to pay some or all of the premium? It seems that the bank has mitigated all of its risk at no cost to them.