Life Settlement Consumer Benefits

Over the years, Institutional Life has seen a number of different reasons that clients desire to experience a liquidity event today, rather than maintain their policy until its eventual maturity. Here are a few case studies of the benefits that policyholders have been able to unlock by pursuing a settlement:

Case study 1:

Meet Tom

55-year-old male

$300,000 Term Policy

Diagnosed with Terminal Illness

Received $240,000 for his policy and was able to accomplish his personal goal of being able to purchase his son’s first vehicle when he turned 16

Case Study 2:

Meet Bernard

78-year-old male

$150,000 Policy

Struggling to afford their mortgage payments, but also wanted to maintain a portion of the policies’ benefit for legacy planning.

Received $28,500 cash + $90,000 of retained death benefit, a life settlement option that allows a policy owner (seller) to retain a portion of their life insurance policy's death benefit, for the beneficiary of their choice, in lieu of receiving a cash only lump sum settlement. In this transaction, ILS was able to accomplish both of their goals.

Case Study 3:

Meet Greg

89 year old

$1,500,000 Guaranteed Universal Life Policy

Sought to alleviate future premium burden since coverage was no longer required

Received $210,000 and was able to avoid future 6-figure premium expenses