Who benefits from a senior life settlement?

Life settlement of a life insurance policy allows seniors, 65 years old or older, the maximum amount of cash payable for their policy. In recent times, insurance settlement companies have become popular within the financial planning community. Policy holders are becoming aware of benefits that can’t be ignored. The industry of Insurance and Financial professionals continues to grow and be accepted by more and more clients looking for financial assistance and planning. Other financial services have begun to refer clients to Insurance professionals to advise them how best to utilize equities from a asset that was once thought of as only for those left behind. Just as art, collectables, homes or other assets have monetary value, so do insurance policies, and they can be bought, for more that than the surrender value, but less than the face value. This transaction offers a win for the seller as well as the buyer, the policy owner receives cash usable in life and the buyer becomes the beneficiary. A settlement agent can also help a client turn a policy on the brink of cancellation or lapse into cash by way of a settlement.

Why is a senior life settlement the right decision?

Selling your life insurance policy is a very big and important step to take. You should first confer with a lawyer, who you trust, and who is well versed in estates and will planning. He or she will be able to advise you what is best for your and your spouse. Your decision can assure you and your family of an additional financial independence and can change your way of life.

Some of the examples listed below can help show what a life settlement can do for you.

1. As a person 70 years old or older and owning a multitude of insurance policies for estate planning , you may have found your needs have changed. It could be advisable to sell one policy, reducing your monthly insurance expense, and turn this life settlement into a annuity or possibly a long term care policy.
2. If you are 70 years old or older and own a policy that was assigned to you , at the time of your retirement, from your employer or as the former owner of a company, you may find this policy currently unnecessary. This policy can be sold, eliminating the need to pay the premiums, and used for other purposes such as an investment.
3. A senior who is getting on in years, might want to sell a insurance policy, so that he or she can make a donation without touching their retirement income. This would allow the seller a tax deduction and his or her favorite charity a large payment.
4. A retiree who might be 70 years old or older could find himself with a 20 year old term life insurance policy that is ready for renewal. For a person of that age, the premiums will increase to a possible unplayable amount. Instead of letting this policy lapse, you can sell it to a life settlement agent, thereby reaping cash for all the years of premiums paid.

How does it work?

The first step is to find a reliable life settlement company that you feel you can trust and will work for you. Then you will need to fill out all applications and medical release forms that are necessary to get started. Once your paper work has been looked over, you will be assigned a case manager who is there to guide you through every step. Your case manager will explain the process and is experienced to answer all your questions.

When do I collect?

After your information has been analyzed, we will try to make you an offer. There is no pressure to accept any offer you are not comfortable with. Your offer will be a percentage of the face value, and if you decide to accept your offer, contracts are then drawn up. Once all papers are in order, the transfer of beneficiary takes place and the money is transferred from a private escrow account to you, usually within three to five business days.