What is a life settlement?

What is a life settlement?

A life settlement is the sale of a life insurance policy to a third party for a value in excess of the policy’s cash surrender value, but less than its face value, or death benefit. A policy owner receives a cash payment, while the purchaser of the policy assumes all future premium payments and receives the death benefit upon the death of the insured.

http://www.lisa.org/consumer-advisors/life-settlement-basics/defining-life-settlements

2019-01-05T16:53:47+00:00March 22nd, 2017|