October 2010
Case Study# 1: 81-year-old male
- Policy Face Value: $750,000
- Annual Premium: $33,072
- Client Offer: $253,000
- Policy Type: UL
- Cash Value: $73,225
- Summary: The client no longer needed this policy, which was originally purchased for estate tax purposes. The life settlement appraisal was more than one-third the value of the death benefit, and more than three times the policy’s cash value.
Case Study #2: 85-year-old female
- Policy Face Value: $1M
- Annual Premium: $36,200
- Client Offer: $160,000
- Policy Type: UL
- Cash Value: $39,230
- Summary: The client’s estate had decreased, and it had become very difficult for her to pay her life insurance policy premium. She needed to sell the policy or it was going to lapse. Instead of simply accepting the cash value, she decided to test the market and find out the value of her policy from a life settlement perspective. She was elated to receive a value of more than three times the policy’s cash value.
Case Study #3: 83-year-old male
- Policy Face Value: $1.5M
- Annual Premium: $74,508
- Client Offer: $305,000
- Policy Type: Universal Life
- Cash Value: $86,196
- Summary: This case involved an 83-year-old male in declining health that no longer needed his life policy, but did need extra cash for medical treatment. His agent suggested that he explore a viatical settlement to see if she could get more out of the policy than just the cash value. Thanks to his agent’s advice, he walked away with a settlement that was more than four times his policy’s cash value, greatly easing the burden of paying for his medical treatment.
If you have any specific questions about a viatical and your situation, please feel free to contact us at 1-800 RAP POLICY or 1-800-727-7654
*Case On File