3 things every senior needs to know about Life Settlements
a life insurance policy is one of the most valuable assets a person can own they’re also one of the most misunderstood and wasted people don’t realize that a life insurance policy is personal property just like their home and then it has a life settlement value while they’re still alive seniors in particular too often throw their policy away after making premium payments for years the owner of a life insurance policy can sell their life policy through a life settlement for its higher market value but are often unaware of the unique Financial options designed specifically to benefit them while they’re still alive in fact over 90% of seniors who lapse or Surrender a policy they would have considered a settlement if they had known about them
Why Most Seniors wished they knew about these options before they just let their life insurance policy go
so we’d like to answer the top three questions we ask by people new to the secondary insurance Market one what is a life settlement it’s the legal right of every life insurance policy on her to be able to sell their policy like any other asset to a new owner who will take over the premium payments and then we’ll collect the death benefit years later to who qualifies most often a life settlement is for seniors over the age of 65 with a life insurance policy above $100,000 Face Value the value of a life settlement is based on reverse underwriting so the older and sicker a person is the more they’ll get from a life settlement someone to younger healthy is not going to qualify for a life settlement
How does a life settlement work?
so how does a life settlement work the process of a life settlement only takes about 60 to 90 days and there are thousands of transactions completed every year policyowners 10 to receive settlement values there are approximately 4 billion dollars of Life Settlements transacted every year so now that we’ve answered some questions let’s look at what your life settlement options might be Life Settlements provide a number of different Financial options to address the you need financial challenges of Aging a life settlement can provide a lump sum cash settlement with no restrictions on how the money is used
How can I use the proceeds of a life insurance policy that I sell?
they can be used to fund long-term care on a tax-free basis or it can be used to maintain a reduced death benefit policy with no more premium paint or it can be used to fund an annuity to secure a guaranteed income stream for life the important thing to know is that a life settlement is a much better solution than surrendering or Worse letting a policy lapse we hope this isn’t helpful information and determining if you are eligible for Life settlement for more information or to receive a three policy review please contact us
Are proceeds from selling my life insurance policy tax-free?
You need to consult a professional who specializes in taxes to get the best answer for your situation.