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Life Settlements

Many policy owners don't have to lapse unwanted policies  - they might be able to sell them for cash

A life settlement may be a viable option for senior policy owners that no longer want their life insurance policies, or can no longer afford them. If eligible for a life settlement, the cash payment to the policy owner can be used to help fund a long term care policy, to help pay for day-to-day living and medical expenses, or for anything else they choose.  An estimated 90% of all life insurance policies lapse before a death claim is paid. A life settlement, in many instances, may be a valid consideration.

General eligibility requirements:

  • Individuals ages 65+ and/or a life expectancy of 15 years or less

  • Life insurance policies with a death benefit amount of $100,000 or more

  • Term policies that are still within their conversion period, or permanent policies.  For permanent policies, a life settlement payout may be greater than the policy's cash surrender value.

For several years we have recommended the services of Welcome Funds, Inc. - a life settlement broker. Since 2000, Welcome Funds has been assisting older Americans, and others facing life threatening illnesses, achieve financial freedom through a life settlement.  They shop for the best bid among various "buyers" in the life settlement market .

To obtain a free appraisal, Welcome Funds needs two items - a completed pre-qualification form (see link to the right) and an inforce policy illustration that shows the cost of the policy to age 100. If the existing policy is a term plan, the carrier needs to provide a conversion quote.

Call Jeff at ext. 225 for more information. Let us help coordinate your client's information for the best life settlement options - we're happy to assist.

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