Posted by The Policy Settlement Alliance on Mon, Aug 23, 2010 @ 10:42 AM
By Richard S. Bernstein
When I first got into the life insurance settlement industry, I had to start from the beginning and learn all the basics.
There are so many things you need to know. For example, what is a life settlement?
The life insurance settlement industry is known by many other names. For example, it is also known as the senior settlement market or secondary marketplace for life insurance.
The key components to the life insurance settlement industry are: policyholders, brokers and buyers. The policyholders sell their unwanted policies. The buyers purchase the insurance policies. The brokers are hired by the sellers to search the insurance settlement industry to find the highest possible offer.
Once all the parties agree on an amount, a contract is issued to complete the transaction. When signing this agreement, please take your time to understand all of the details.
To learn more about the life insurance industry, please click the LIVEpdq.
Note: Blog posts reflect the opinion of the author, which may differ from the opinion of policysettlement.com.
Posted by The Policy Settlement Alliance on Fri, Jul 09, 2010 @ 03:25 PM
By Scott J. Dressel
What is the future of the life insurance settlement industry? Currently there are several opinions on the future of the life insurance settlement industry. A positive opinion is that there will always be insured individuals who can longer afford or no longer feel they need their life coverage. A negative opinion is there is a lack of investment capital looking to purchase life insurance contracts. An opinion on the lack of capital issue is a concern over the life expectancy assumptions. Several years ago the life expectancy assumptions where very aggressive meaning the life expectancy was short. Currently the life expectancy assumptions are very conservative meaning the life expectancy is longer in the number of years an insured will live. The conservative life expectancy assumption relates to a lower purchase price for the seller. The lower purchase price is offered by the investor because the investor has greater exposure to future premiums. Another opinion is that even though the initial purchase price is lower than in previous years the price offered today for a policy may only be reduced in the future. Life expectancy calculations are not an exact science but rather an assumption and the trend has been for investors to error on the side of being conservative.
For more information please click on LIVEpdq.
Note: Blog posts reflect the opinion of the author, which may differ from the opinion of policysettlement.com.