Senior settlements

"The rise of senior settlements lead to more money when life insurance policies are surrendered."

The ability to exercise senior settlements have become much easier, a lot more legitimately recognized, and much more financially sensible to the average person who has been affected by the most recent severe economic downturn.  There are a multitude of life insurance policies that have been paid on for the past ten to forty years or even longer.  After that many years, the policies have accrued a lot of value, and are a part of the portfolios of many savvy investors.  Most seniors bought these policies when they were just starting a family.  The goal, in most cases, is to handle tax concerns that arise after someone dies.  It's to keep a family's nest egg within the next generation.  It's a well planned decision for a lot of families, but the most recent economic downturn has forced a lot of people to consider options they never did before. 

Senior settlements are an option to get the most out of what cash has accrued for those individuals who need to convert their policy for as much as possible.  The math of the situation is such that the value inherent in the policy is more valuable in the present day, rather than at some future date for another generation.  The problem is that a lot of people are only aware of the cash surrender value from the insurance companies and are unaware of third parties that offer senior settlements.  The desperation of the situation only exacerbates this awareness problem . Considering their present finances, a lot of people become resigned to the fate of simply surrendering their policy and accepting whatever the insurance company decides settle the policy for.  People aren't aware that these policies can be sold on the open market to companies that are forced to compete against one another for the business of these seniors. 

"Senior settlements are more profitable than life insurance cash surrender value options over 50% of the time."

Except for the last ten years, senior settlements weren't much of an option and the prevailing wisdom of having to accept what the insurance companies offer was gospel.  Senior settlements have been around over the last ten years, but they've only come to a lot of relevance in the last couple of years as people have become particularly desperate for money to cover their expenses through their retirement years.  And there is a lot of value there.  It has been accepted that statistics show that more than half of life insurance policyholders over the age of 70 can expect more money to be received from senior settlements than they would from their own insurance company.  Furthermore, financial planning experts now all universally discuss senior settlements with their clients.  The point isn't that senior settlements will always be the best option for people that need to surrender the policy.  The point is that competition can never be a bad thing.  Someone can always deduce that the insurance company can give them more than a senior settlement company can.  It's critical to be able to consider every option that's out there, especially in this day and age.  Fortunately, people can contact senior settlement companies with no obligation.