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Life Settlements
Life settlements serve as a great defensive strategy since the return is not dependent on or affected by the ups and downs of the stock market, interest rate fluctuations, domestic and world economy instabilities, or unexpected global events. They offer prudence while producing a minimum 100% total fixed return, meaning you double your money. Some policies even pay as much as 150% total fixed return, more than twice your investment!
Many investors have found this vehicle to be a desirable diversification for their current investment portfolios. The offering is qualified for cash investments as well as IRA transfers and 401k rollovers.
The investment's integrity is enhanced by the fact that your payout comes from the largest, most financially stable life insurance companies in the world. Investors consistently find that the life settlement vehicle provides peace of mind and confidence, and produces above average returns–12-14%– for your investment dollars.
This strategy has become extremely popular for these large financial
institutions looking for safe ways to maximize returns on their assets. You won't
hear about this in mainstream news because the "Big Boys" don't want the public
cutting in on their turf. This is an excellent opportunity for investors, large and
small, to take advantage of the profitable and growing market where industry-wide
return rates average between 12-14%. This strategy involves purchasing of existing
life insurance policies called "Life Settlements."
Hypothetical Annual Rates of Return:
(Minimum $20,000 investment; illustration based on a $100,000 investment)
Policy with 100% Total Fixed Return
Years to Maturity Amount Invested Amount Returned Simple Annual Rate of Return
1
|
$100,000
|
$200,000
|
100%
|
2
|
$100,000
|
$200,000
|
50%
|
3
|
$100,000
|
$200,000
|
33.33%
|
4
|
$100,000
|
$200,000
|
25%
|
5
|
$100,000
|
$200,000
|
20%
|
6
|
$100,000
|
$200,000
|
16.66%
|
7
|
$100,000
|
$200,000
|
14.28%
|
8 |
$100,000
|
$200,000
|
12.5%
|
9
|
$100,000
|
$200,000
|
11.11%
|
10
|
$100,000
|
$200,000
|
10%
|
Policy with 150% Total Fixed Return
Years to Maturity Amount Invested Amount Returned Simple Annual Rate of Return
1
|
$100,000
|
$250,000
|
150%
|
2
|
$100,000
|
$250,000
|
75%
|
3
|
$100,000
|
$250,000
|
50%
|
4
|
$100,000
|
$250,000
|
37.5%
|
5
|
$100,000
|
$250,000
|
30%
|
6
|
$100,000
|
$250,000
|
25%
|
7
|
$100,000
|
$250,000
|
21.42%
|
8 |
$100,000
|
$250,000
|
18.75%
|
9
|
$100,000
|
$250,000
|
16.66%
|
10
|
$100,000
|
$250,000
|
15%
|
Fill out the form below for more information.
Do You already have a life insurance policy and want to sell?
Many seniors living on fixed incomes from company pension plans and government pensions are finding it increasingly difficult to manage all of their expenses. While prices are going up, their pensions do not increase at nearly the same rate and as a result they make tough decisions about various things that they would like to have, but can no longer afford.
One of these areas is life insurance. Many will allow their life insurance to lapse simply by not making the payments any longer. There is an alternative to allowing your life insurance to lapse. This alternative is known in the business as life settlements.
A life settlement occurs when you sell your life insurance to an investor who agrees to continue paying the life insurance premiums and will collect the life insurance upon your death. In return he or she will pay you at the time of purchase a life settlement amount, which will be a value less than that of the value of the life insurance. The life settlement amount is determined by a number of factors.
For example, your life settlement amount will be determined by the original amount of the life insurance, your life expectancy, the cost of the premiums, the current and projected interest rates and health of the insurance company that is providing the life insurance coverage. All of these factors are taken into account when determining your life settlement value.
Seniors on fixed incomes can use this money for whatever they need. In some cases they will pay off medical bills or use the funds from life settlements to make their lives more comfortable. Others will use the funds to purchase a few gifts for the family or go on a dream vacation. Whatever you use the funds for, this approach is much better than simply allowing the life insurance cover to lapse and receiving nothing at all. You also receive a percentage of the funds now instead of your estate after you are gone.
Regardless of your plans for your life settlement, it costs nothing to look into your options. We will give you an estimate based on an evaluation of the information you provide to us about your insurance and your health. Of course this is an estimate and the actual number will depend on the final appraisal and value that the investors who will bid on your life insurance settlement will provide. Either way it costs nothing to find out and you can then use this information as part of your financial planning activity.
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