Life insurance settlements can be an incredibly successful practice of getting rid of an unwanted or unneeded insurance policy, and benefit every party involved — you as the agent, your Policy Seller as the policyholder, and the investors purchasing the policy.

When you team with Global Life Settlements as an insurance agent, you will still earn your residual income, as well as help individuals with the insurance settlement process. Maybe their annual premium payments are too expensive, or they want to experience their retirement blissfully. Either way, you are benefiting your Policy Sellers by selling their life insurance policies while also giving yourself the opportunity to earn higher commissions and expand your line of work.

Will My Policy Sellers Quality For Life Settlement?

The first step of the life settlement process is to evaluate your Policy Sellers and their policies to see if they qualify for settlement. How do you do this? It’s fairly simple. Sort through your list of Policy Sellers and find those who:

  • Are 70 years old, or older
  • Are over the two year contestability period
  • Are the policyholders of a Universal Life, Indexed UL, or Convertible Term policy, and the face value of their policy is between $100,000 – $10,000,000
  • Has a CSV with less than 10 percent of the face value

The next step to see if your Policy Sellers will successfully qualify for a settlement is to find those who:

  • Are dealing with significant health issues or impairments
  • Have rising annual premiums that are putting them at risk for lapsing or surrendering
  • Have a need for additional post-retirement income and financial support

Once you have evaluated your pool of Policy Sellers and have found those who have a big potential for success, it’s time to reach out to them to inform them of their options and get rolling on the next steps of the settlement process.

What To Know About The Selling Process Of An Insurance Policy

Your Policy Sellers are going to need to know what they need to provide in order for the selling of their policy to be successful. As the agent, it is your responsibility to inform them of what is expected and how the process will unfold. You and your Policy Seller will need to assemble certain documents and information before the life insurance policy can enter into the secondary buyers’ network to get sold to an investor.

Information Required:

  • Policy owner’s name
  • The policy owner’s reason for opting for a life settlement
  • The name, date of birth, health status, and contact information of the Insured
  • The policy type, the face value, and the insurance carrier
  • The current and in force policy illustration, which demonstrates any loans that are paid off as well as a level death benefit and minimum level premiums.

Your Policy Seller will also want to know how long it is going to take for their policy to get bid on and for an offer to come through. Once the required documents and information are collected and processed, the Policy Seller should expect to know if they have an offer within two weeks.

These life insurance cases are known to close within 30-60 days after the offer was accepted.

Global Life Settlement Opportunities

If you are considering becoming an agent with us at Global Life Settlements, you probably have questions that you need answered. From your benefits to those of your Policy Seller, there are aspects you need to know. We are happy to answer any of those questions for you. Contact us today.