If you have a life insurance policy, it might surprise you that you can sell your policy for immediate funds through a life settlement. However, it is important to understand who qualifies for a life settlement before you begin the process.
Who Qualifies for a Life Settlement?
Criteria for Selling Your Life Insurance Policy
- Health Status
If you are in generally good health, you must be 70 years of age or older to qualify for a life settlement. However, if you have a life-threatening illness such as ALS, Alzheimer’s, or cancer, there is no age minimum and you would qualify for a viatical settlement.
- Policy Value
In order to qualify for a life settlement or a viatical settlement, you must have a policy valued at $100,000 or more.
Reasons to Sell Your Life Insurance Policy
Your reason for choosing to sell your life insurance policy is personal and you do not need to share it with Sell My Life Insurance Policy or your buyer. Even so, we’re aware of several situations where you may consider this financial option.
- You need additional funds for living expenses or to fund your retirement.
- The individuals you named as beneficiaries no longer need financial support.
- You or your spouse are experiencing a medical crisis that requires immediate access to funds.
- As you age, the premiums on your life insurance policy rise, making them unaffordable to you.
How Much You Might Receive in a Life Settlement Offer
Now that you understand who qualifies for a life settlement, you are probably wondering how much you can expect to receive when you sell it.
Several factors go into determining how much a buyer will offer for your life insurance policy. Naturally, the dollar value of the policy plays a big role in determining its value. The current premium you pay on your policy is also a determining factor since the life settlement broker or provider will take over your payments.
The higher the value of your policy and the lower your premiums, the more you can expect for an offer. Your life expectancy and the cash value of your policy are additional factors considered by buyers before extending you an offer for your life insurance policy.
Find Out If You Qualify Instantly
Sell My Life Insurance Policy offers a quick way for you to see if your policy qualifies for a life settlement offer. Fill out our quick form to see if your policy qualifies and you will receive an immediate response regarding your eligibility.