DON'T CANCEL YOUR LIFE INSURANCE

Why do policy owners cancel their life insurance? They no longer need the insurance (because their family is grown, or their estate tax liability is reduced, or other reasons). They can no longer afford to pay the premiums.

IF YOU INTEND TO CANCEL YOUR LIFE INSURANCE, FIRST, CHECK IT'S ACTUARIAL VALUE,
FREE OF CHARGE.

Your insurance policy may have an "actuarial value" that exceeds the cash surrender value on your insurance policy, if

•  You own at least $100,000 of life insurance, and

• The insured is over age 65, with a life expectancy of less than 15 years, or

• The insured has a health impairment (heart condition, cancer history, etc.), with a life expectancy of less than 15 years.

TERM INSURANCE:  Wall Street investors may offer a Life Settlement that may exceed ten percent of the death benefit ($10,000 on a $100,000 policy). Even group term insurance at work might be eligible for a Life Settlement.

CASH VALUE POLICY: Wall Street investors may offer a Life Settlement that pays both the cash value of the policy (just like the insurance company would pay you), plus an amount that may exceed ten percent of the death risk (excess of insurance amount over the cash value). On a $100,000 policy with a $20,000 cash surrender value, the Life Settlement might exceed $28,000 ($20,000 cash value plus ten percent of $80,000).

BUSINESS INSURANCE: Group insurance, Keyman insurance, Corporate Buy-Sell Agreements, and COLI policies are typically issued for large amounts of insurance. When such insurance is no longer needed, it may be eligible for a Life Settlement.


Click Here to go to "Examples of Life Settlements"