April 08, 2021
30-second summary of how to Sell Your Whole Life Insurance Policy Today for Security Tomorrow
Did you know you can benefit from your life insurance while you are living? Selling a whole life insurance policy can be an excellent way to achieve financial security and live the life you want in retirement. In this article, we’ll provide an overview of selling your life insurance, and give three examples of how life settlements help policyowners:
- Improve your lifestyle post-retirement
- Cover medical bills and other expenses
- Remove the burden of premiums
If you have any questions, you can contact us and one of our life settlement specialists will be happy to help you.
Almost everyone knows that life insurance can help provide financial security for your loved ones in the face of loss.
What people often don’t realize is that you can also achieve peace and security for yourself by selling your life insurance policy.
There are plenty of reasons to consider selling your life insurance policy through a life settlement.
Maybe you have some medical bills you need to cover, or you might be in a better place financially if you didn’t have to pay expensive premiums. Or maybe you just want to live a more comfortable lifestyle in retirement.
Whatever the case, selling your life insurance today can help bring security tomorrow.
To sell your life insurance, you need to speak with a life settlement company. These companies purchase your life insurance from you by providing you with a lump sum payment in exchange for the death benefit of the policy. This process also transfers the burden of all future premiums onto the life settlement company.
There are two main types of life settlements: standard life settlements and viatical settlements. A majority of life settlements fall under the first category. These settlements are generally offered to retired persons over the age of 65 who have a whole or universal life insurance policy with a face value over $100,000.
Viatical settlements, on the other hand, are a unique type of settlement that requires the policyowner to have been diagnosed with a terminal illness. These settlements are less common, but tend to yield larger payouts than standard life settlements. A viatical settlement can also be offered to someone below the age of 65.
Both types of settlements result in a lump sum payment to the policyowner, the cessation of premium payments from the policyowner, and the transfer of policy ownership and the policy’s death benefit from the original policyowner to the life settlement company.
For a more comprehensive explanation of life settlements, check out any of these educational pages:
Now that you know the basics of how a life settlement works, let’s take a look at some examples to see how a life settlement can help policyowners achieve financial security.
When most people picture retirement, they imagine themselves living the lifestyle they’ve always wanted. However, life doesn’t always work out exactly as planned, and many people end up having to compromise on the lifestyle they want to live. A life settlement can help you meet your lifestyle goals for retirement and have the added bonus of cutting out costly premium payments.
If you have a life insurance policy you no longer need or want, selling it can provide the cash you need to live the lifestyle you want. To learn more about how a life settlement can be a part of your retirement plan, read the articles linked below:
One of the most common reasons that people choose to pursue a life settlement is to help cover unplanned expenses that would otherwise eat into their retirement savings. Oftentimes, a life settlement provides enough cash to cover most medical expenses, and many find that they have money left over that can be invested or spent on other quality of life improvements. Viatical settlements are often used for this purpose, and tend to produce a payout large enough to cover medical expenses and help offset financial burdens incurred by beneficiaries.
Select one of the links below to learn more about how a life settlement can provide security in the face of unexpected expenses:
Sometimes people retire without having planned for the expense of ongoing premium payments. Depending on the size of your monthly life insurance premium, removing it from your monthly expenses can provide a huge boost to your lifestyle. If your premiums have become too great a burden, check to see if you qualify for a life settlement by filling out our eligibility form today!
If any of the above situations apply to you, it may be time to explore a life settlement. Fill out our eligibility form to see if you qualify for a life settlement through Lighthouse Life. We have years of experience helping people achieve financial security through the sale of their universal and whole life insurance policies. And if you have any questions about life settlements, our team members are here to help! Contact us today to see how we can help you secure your future.