Life Insurance Agents

Life insurance consultants and agents are reaping the rewards of Life Settlement transactions they introduce to their clients. The secondary market for life insurance is not only keeping existing policies in force, but Life Settlements are producing cash that might be used for many purposes, one of which might be for the purchase of new life insurance policies.

What Is The Benefit To You?

• You continue to earn renewal commissions on the existing policies.
• You earn new commissions on new life insurance policies sold.
• You earn conversion commissions on converted term policies.
• You earn fees for investing the client's funds in annuities or other investments.
• You have acted in the best interest of your client by advising him/her about the possibility of selling a life insurance policy for more than cash surrender value or selling a term policy instead of letting it lapse.

Does Your Insurance Company Prohibit Your Involvement In Life Settlement Transactions?

• You still have a fiduciary responsibility to your client. Don't cause your client to leave money on the table. Call us at 877.588.5558 or email us and we'll send you some well respected articles on this subject.
• Refer the business - you do not have to have actual involvement in the transaction. If you are not involved in the transaction you still benefit as follows:
1. The original policy remains in force and renewal commissions continue.
2. In many cases your client will use proceeds to purchase a new policy on which you will receive a new commission.
3. You have given advice that is best for your client.

Which Clients Qualify For A Life Settlement?

If you have a client who:

• is at least 65 years old,
• has a life insurance policy (all types, including term) of $50,000 or more,
• and has had a change in health since the policy was issued, your client might qualify for a Life Settlement. A Life Settlement can produce substantial cash from a life insurance policy that is no longer needed or wanted.

Why Would Your Client Sell A Life Insurance Policy?

• Your client needs cash and can get more than cash surrender value or get cash for a Term Policy with no value that is going to lapse.
• Cash is needed to buy a new paid up life insurance policy.
• Cash flow is tight and monthly premium payments are too high.
• Cash is needed for medical care.
• Cash is needed for assisted living or a nursing home.
• Cash is needed to fund children's education.
• Cash is needed to get out of debt.
• Cash is needed to purchase long-term care insurance.
• Cash is needed to fund your client's retirement.
• Cash is needed to fulfill your client's family charitable giving plan.
• Cash is needed to make family gifts.
• Cash is needed to replace an underperforming life insurance policy.
• Cash can be used to purchase other investments.
• Cash is needed to buy back stock from a business partner.

A Life Settlement is a great way to improve upon an estate plan or to fund a charitable giving program. In the case of a charitable gift, your clients could get a substantially larger tax deduction when coupled with a Life Settlement.