A Life Settlement is the sale to a third party of an existing life insurance policy for more than its cash surrender value, but less than its net death benefit. Being void of Stock Market and Interest Rate risk are just some of the appealing aspects that Life Settlements offer to the Institutional Asset Manager. As a Life Settlement financing entity, LS Acquisitions locates capital sources willing and able to purchase Life Settlements. Competency with this dynamic marketplace provides us with the ability to introduce qualified buying entities to Life Settlement Providers located in the US.
Secondary Market On Life Insurance
The secondary life insurance market is the trading of life insurance policies on individuals who no longer require or cannot afford their life cover and is commonly known as the life settlement market. The insured lives are generally 65 years old or over (known as senior life settlements) with individual medical histories resulting in reduced and uniquely calculated life expectancies. Life settlements are typically sold to licensed providers through life settlement brokers. The life settlement market represents the largest growth area in the life insurance sector today. Seniors today hold more than $500bn in life insurance policies, over $100bn of which may qualify for a life settlement. Source: Bernstien Report 2005.
Policy Acquisition
The analysis methodology behind policy acquisition is what determines the price paid for a policy. It is so much more than 'how much is paid for the policy'. There are some key areas of policy evaluation, administration and maintenance that must be covered to ensure the right policies are acquired at the right price and in the right way. More Information.
