Building your Retirement Savings: Cash Out your Life Insurance Policy

Clock March 02, 2021

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This post has been updated to reflect the most up-to-date information

30-Second Summary of Building Your Retirement Savings: Cash Out Your Life Insurance Policy

Many seniors are looking for ways to increase their cashflow and savings in retirement. One commonly overlooked financial planning asset is a life insurance policy. In many cases, you can cash out your life insurance policy. 

How to cash out your life insurance policy and use the proceeds to build your retirement savings:

  1. Maximize the value of your policy
  2. Discover if you qualify for a life settlement
  3. Use a life settlement to save for retirement

It takes less than 5 minutes to see if you may qualify to cash out your life insurance policy.

See if you qualify now

Do you want to increase your retirement savings? You’re not alone. Many seniors are looking for ways to generate additional income and bolster their savings in retirement.

From increases in everyday expenses to skyrocketing medical costs, people are finding they might need more money in retirement than they had initially planned. One study revealed that almost half of Americans fear running out of money in retirement. Whether you’re already retired or nearing retirement age, it can be helpful to take a step back and review your financial planning options.

When doing this, it’s important to evaluate your assets and understand how to maximize their value to you. For example, did you know you can cash out your life insurance policy?

If you own a life insurance policy you no longer want or need, you may be able to sell it through a transaction called a life settlement (if you meet certain qualification requirements). When you cash out your life insurance policy through a life settlement, you get a lump sum of money. This payout is on average four-or-more times greater than the policy’s cash surrender value.

In this brief article, we share how you can cash out your life insurance policy and use the money to build your retirement savings.

Maximize the value of your life insurance policy

If you have a life insurance policy that no longer meets your needs, you can consider selling it and converting it to cash through a life settlement. Life settlements make it possible for seniors to quickly and easily add money to their retirement savings – money they may not have known they could access.

There are many reasons someone might choose to sell their life insurance policy. While these reasons vary from person to person, they frequently include:

  • The premiums have become too costly
  • The insured’s health has changed
  • The policy is no longer needed

(For additional details, read our article about common reasons people consider selling a life insurance policy through a life settlement.)

The bottom line is: if you no longer need or wish to maintain your life insurance policy, you can cash it out through a life settlement and add to your retirement savings.

Discover if you qualify for a life settlement

It doesn’t take long to find out if you qualify for a life settlement, and the process is simple. Just complete our online form, call us, or chat with us. In just a few minutes we’ll be able to let you know if your life insurance policy may be eligible to be sold for cash through a life settlement.

(Don’t worry, there is no obligation to sell your policy even if you discover that you do qualify.)

Use a life settlement to save for retirement

Planning for retirement is a long and complex process that many people spend a great deal of time and energy on. But even the best plans can benefit from a little help. Even if you believe you’ve saved enough for the retirement you want, adding a large cash windfall to your savings account can provide you with additional financial security.

If you have a life insurance policy that no longer serves its intended purpose, or that is too expensive to maintain, you have options. Instead of being a drain on your resources, it can become a significant part of your financial plan in retirement. Life settlements let you benefit from your life insurance while you are living and can help you build your retirement savings.

To get started, complete our online form today.