There are a lot of moving pieces involved with life settlements.
What are the client's objectives? Why are they selling? Is there no longer a need for the life insurance? Will they have a need in the future? Policies that are sold will be considered in the client's overall insurance capacity.
The client's options will vary depending on the dollar amount of the policy and how the policy is currently being funded. Smaller face policies might not require life expectancy reports and could have a faster turn around time. Premium financed policies could have additional restrictions and bigger min. face requirments.
Other common factors to consider are: age, premium to face ratio, outstanding loans on the policy, the amount of time the policy has been in force.
Also, your state might require you to obtain a license in order to transact in life settlement buisiness.
Any risks associated if a senior citizen sells his policies?
Sure. One of the biggest risks associated with a senior selling his/her policy, is the service provider, itself. How many life settlement companies that you know of, provide Full Disclosure to the customer and the agent? I know of only one. However, this does not indicate that there are no ethical companies out there providing this service. There are.
By Full Disclosure, I mean that all steps of the process are fully disclosed to the customer. The funders are disclosed to the customer and agent. Commissions are fully disclosed, but most importantly are negotiated with the customer - as opposed to the life settlement company telling the customer and agent, "This is what you get."
With a Full Disclosure service, there is no way the company can skim off a chunk of funds without the customer and agent knowing about it.
It is the most ethical way to do business, and we provide such service.
Yup. surprising how many here have not caught on to his gig. Just click on his profile and read his other posts and ask yourself WTF is going on. Next week, he will post a question: "What is the best solution for a senior- to take out a final expense policy or to ride the bus?" Then everyone will start chugging away to answer it.
Crazy stuff but I guess it is lonely there on his ward.
Winter
------------------------------------ Spending Our Way to Prosperity
My company is a life settlement brokerage firm and we advise all clients to work with at least 2 to 3 brokerage companies. The best way to insure full disclosure is to add the element of competition.
My company is a life settlement brokerage firm and we advise all clients to work with at least 2 to 3 brokerage companies. The best way to insure full disclosure is to add the element of competition.
What? I mean if involving our competition works - so be it.
Originally Posted by patch36
Are these the same as viaticals?
I believe so . . .
I have a friend that does them - the commissions are obscene.
Tom
------------------------------------ [COLOR=Red]" If you must Hate - Hate the Game and not the Players"
[/COLOR]
Viaticals are similar to Life Settlements but are regulated differently in most states. A Life Settlement is considered a viatical when the insured has less a life expectanecy of 2 years or less.
Some of the companies I have worked with will fire you if you sell this kind of product. To each their own, but I have seen some very bad things on this side of the universe.
------------------------------------
Chuck
If you think your boss is stupid, remember: you wouldn't have a job if he was any smarter.”
My company is a life settlement brokerage firm and we advise all clients to work with at least 2 to 3 brokerage companies. The best way to insure full disclosure is to add the element of competition.
That is the worst advise from someone in the business. Any good broker will tell you NOT to do this. If you use multiple brokers. Your case will end up at the same funders desk multiple times. This will either devalue your case or kill it, no matter how good of a settlement it might be.
------------------------------------
Send me a PM to find out how life settlements can help your clients! [COLOR=red][/COLOR]
[COLOR=blue]"Do your duty in all things. You cannot do more, you should never wish to do less" ~~Robert E Lee[/COLOR]
That is the worst advise from someone in the business. Any good broker will tell you NOT to do this. If you use multiple brokers. Your case will end up at the same funders desk multiple times. This will either devalue your case or kill it, no matter how good of a settlement it might be.
I will take exception that you insinuate that I am not a good broker because I have a different view.
As you know many funders take cases on a first come basis, so cases submitted later by other brokers are simply not recognized. They are not automatically devalued or killed. I do agree that excessive shopping of a case can devalue it, which is why I only recommend 2 maybe 3 brokers. Another point is that good cases will always get worked. The scenario you describe happens typically to bad cases that don't price and eventually get over shopped. I have been in countless situations where the result of competition is very pro-client. Either the brokers had to sharpen their pencils, or the mix resulted in more funder offers.
I would also recommend that anyone looking for a "good" life settlement company start by visiting the life insurance settlement association's website.
Milestone is a cool company, they are one of the few guys that have programs for small face amount life insurance. I think they will take a policy down to 50K of face.
I have no ethical dilema with selling a life settlement. Money is money is money. The life companies have been making plenty of it for years. A life settlement is just a way to turn the tables and let the consumer make a little money in return. We are the beneficiaries because we get to be the middle men.
Senior Life settlement
Re: Senior Life settlement
Linear Mode
