Life Settlement Broker

"A life settlement broker can buy a surrendered policy for far more than an insurance company can."

The whole country has been affected by the sharp downturn in the economy. A huge number of people are now scrambling and considering questions about their financial health that they haven't before.  It has been an especially common scenario for seniors that are facing the same issues as others, but with much higher expenses and lower income.  Just considering our country's unemployed senior population puts all of this into very clear focus. 

A lot of senior citizens have life insurance policies that have been accruing value for years.  With life insurance policies, there is an accrued cash value that the insurance company will pay out if the policy is surrendered.  The biggest problem is that these surrender values aren't typically large.  They are certainly small when compared how much has been contributed to the policy and how large the face amount is.  This dichotomy is the reason that life settlement brokers have exploded on to the scene.  Life settlement brokers are third party companies that buy up an unwanted life insurance policy.  Most people purchased their policy with the intent of keeping it until their death and being able to pass on money to their kids or spouses.  Of course, sometimes things change and getting the surrender value or working with life settlement brokers becomes more feasible. 

"Life settlement brokers are helping American seniors in their battles with the insurance companies."

Life settlement brokers are secure and safe, which promotes confidence in seniors who are considering abandoning their policy for financial need reasons.  Life settlement brokers are also much more profitable to a good chunk of the senior citizen population.  According to a lot of insurance industry personnel, nearly half of the life insurance policies of people seventy years of age or older are worth more than the surrender value quoted by insurance companies.  Life settlement brokers are the ones that are buying these policies and providing more money to the country's seniors.  In many cases, the offers from life settlement brokers are worth several tens of thousands of dollars more than the offer the insurance company made.  These discrepancies are particularly pronounced when examining the alternatives of older seniors. 

This is a good thing because most people who find it necessary to examine these options are well over the age of 70.  Obviously they've been paying on the policy longer and therefore the expected surrender value will be larger and it will be higher from both the insurance company and from life settlement brokers.  A lot of those that were hit the hardest in this current economic downturn are those seniors who can't realistically return to work.  The  number of life settlement brokers have really exploded, it's now a multi-billion dollar industry.  With the added competition and availability of these arrangements, there has been greater transparency and security in this market and all financial planners recognize it as a legitimate option to discuss with their clients.  No one who has a life insurance policy wants to have to choose this option, but fortunately life settlement brokers promote competition and lead to greater financial freedom for senior citizens.