Note: These case studies are for illustration purposes only and are not intended to be an indication of what a particular seller can expect to receive.

Case Study #1

Policy: Multiple Whole Life & Universal Life
Insured: Female, age 79
Face Amount: $5,000,000
Cash Value: $420,000

Result: The policyowner received $1,010,000

Case details: the client’s current policies were underperforming. Her advisor, understanding her need for insurance for estate purposes, suggested a life settlement. The market value of her policies provided her with $590,000 more than the cash value in her old policies. Using the proceeds from the life settlement, she was able to obtain a new $5 million guaranteed death benefit policy. The premium outlay was 30% less after the dump in from the life settlement.

Case Study #2

Policy: Term
Insured: Male, age 70
Face Amount: $4,000,000
Cash Value: $0

Result: The policyowner received $640,000

Case details: as part of his retirement package, a CEO received a $4 million term policy. Since he had no desire to maintain the ongoing premiums, his advisor suggested having the policy evaluated to determine its market value. The client and his advisor opted for a life settlement which enabled him to reach his goal of funding a trust for his grandchildren.

Case Study #3

Policy: Universal Life
Insured: Female, age 82
Face Amount: $6,500,000
Cash Value: $705,000

Result: The policyowner received $1,355,000

Case details: the client was still paying premium in the tenth year of her seven-year vanishing premium policy. She was unhappy with the policy’s performance, but she needed life insurance for estate planning purposes. Her attorney recommended having the policy evaluated to determine its market value. The client chose a life settlement which yielded $650,000 over the cash value of the policy. She used the proceeds to obtain more efficient coverage and meet her estate planning goals.