Do I qualify for a life settlement?
To qualify for a life settlement, you’ll need to
Be Age 65
Or Older
A life settlement is primarily for people who are age 65 or older. Select policyowners under the age of 65 may qualify, if they have a serious health condition.
Have a Change
In Health
Your medical condition is another key factor. People who have experienced a change in their health since they purchased their policy will often qualify for a life settlement.
Own a life insurance policy of $250,000 or more.
You will need to have a policy with a face amount of $250,000 or more to qualify. Most policy types can qualify – even a term policy.
Details about the qualification factors of a life settlement
Age of the Insured
Seniors over the age of 65. Those under the age of 65 may qualify depending on medical condition. Typically, investors are interested in life insurance policies of individuals who are older in age.
Health of the Insured
Medical records will be requested and kept confidential. Generally, Institutional Funds prefer to have medical records that support a life expectancy of 8-12 years.
Type of Insurance Policy
Any types of insurance policies (ex: universal life, whole life, term life, group life) can be assessed.
If the policy is a Term policy, it must be able to be converted or changed into a permanent policy.
Life Insurance Policy Death Benefit
The policy should have a face value of at least $250,000 to attract more attention from the Institutional Market.
Insurance Company Rating
Institutional buyers prefer to purchase policies used by “A” rated insurance companies.