Life Insurance Settlement

Life Insurance Settlements allow a life insurance policy owner to sell an existing policy to a financial institution in exchange for an immediate lump sum cash settlement. The payout amount for the policy is a discounted percentage of the policy's net death benefit and represents the present day value of the policy. A Life Insurance Settlement can be a lot greater than the cash surrender value. This purchase price is determined by considering the insured's estimated mortality (life expectancy) and the associated cost of premiums to keep the policy in force for that timeframe.