Understanding Life Settlements

Frequently Asked Questions

A Life Settlement is a way to gain cash without incurring debt or disposing of more valuable assets and can be a practical funding source for retirement and continued care living. Many American seniors—typically those 70 years of age or older—are discovering that the life insurance policies that they bought many years ago no longer meets their needs.  Some reasons to sell a life insurance policy are:

  • A policyholder may want to reduce or eliminate coverage to lower premium costs
  • The policyholder has outlived the beneficiary
  • The policyholder has lost a spouse or divorced
  • Disposed of a business or retired from an insured executive position
  • Change in estate or tax situation
  • Children or other heirs may be more mature and financially independent
  • There is a need to raise cash to pay for immediate medical and/or living expenses
  • Gifting a policy for philanthropy and having a tax deduction for fair market value

I would like a free no obligation evaluation of my life insurance policy.

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+ What is a Life Settlement?

+ Why Sell a Life Insurance Policy?

+ What are Special Concerns or Risks of a Life Settlement?

+ What Policies are Eligible for a Life Settlement?

+ Who Qualifies for a Life Settlement?

+ Who Buys the Life Insurance Policy?

+ How Much is a Policy Worth in the Secondary Market?

+ What is the Life Settlement Process?

+ What are the Tax Implications of a Life Settlement?

+ Why Work with a Broker and Life Settlement Intermediary?

+ Are there Financial Alternatives to a Life Settlement?

+ What fees are involved?