Life Settlement Financial Planners
Selling one�s life insurance policy as part of a broader financial planning strategy may be a prudent business decision, but nonetheless a significant step for the policyholder. The individual will want to know that they can trust their financial advisor to recommend the best course of action to meeting their changing needs.
Financial advisors have a fiduciary responsibility to represent the seller�s interests in a life settlement transaction when functioning as a financial services professional. The financial advisor should approach this responsibility with a methodology that includes the following four-step process:
1. Assess the client�s overall financial picture to determine whether the life insurance settlement is an option;
2. Perform an analysis of the client�s probability for a life settlement
3. Perform due diligence by researching the marketplace for a reputable life settlement provider / broker who is backed by qualified funders;
4. Pursue the highest market value for the seller by insisting on multiple offers from the life settlement provider.
Financial advisors can help their clients tap into �found money� that may be hidden in unneeded life insurance policies. But advisors should know that life settlements are not for everyone. Life Settlement Pro uses the following qualification criteria when working with advisors, producers and clients to obtain multiple offers for their policies:
1. The policyholder must have owned the life insurance policy for at least two years
2. The policyholder must be at least 70 years of age and have a life expectancy of 12 years or less
3. The policy must have a minimum face value of $250,000
