Your Life Insurance Policy: A Hidden Asset

Parkinson’s Disease Awareness Month is here. My heart is with you, the families who are facing Parkinson’s disease. My own family was one of them. This is one of the reasons that I love what I do and am proud to be a member of PRO’s Wellness Village. We are here to help, with another financial solution to help with quality of life. How, you say? Let me explain.

$341 billion of life insurance benefits were surrendered in 2020, according to the American Council of Life Insurance Fact Book.

That is a lot of money clients are leaving behind. This happens because they no longer want the life insurance policy, need the policy, can afford the policy any longer, or they just want the cash savings out of the policy. They do not know there is another option that can have dramatic, positive financial impact. That option, life insurance settlements, is what we do.

Policies, all types of policies (including term), can be sold for cash. This cash can be used for anything, including making our loved ones lives more comfortable while they are still with us – take a trip, pay for care needs, home modifications – anything.

The investor groups who purchase these policies become the new owner, pay the premiums, and become the beneficiary. The client receives cash today, and the buyer receives an investment with a future return. The amount a policy could be worth is very specific to each client, but policies can be worth tens of thousands or hundreds of thousands of dollars… all from an asset a client was going to walk away from. 

Here are some real-life stories of some of our clients whose lives were changed through a life insurance settlement:

*A 66-year-old woman with MS had a $150,000 term life insurance policy. Her beneficiary was her ex-husband. There were no children, and no one she wanted to leave the money to. Since she didn’t need it anymore, she decided selling the policy made sense, in order to give her money for the care needs she knew she would need in the future. We marketed the policy and she sold it for $25,000, giving her the financial cushion, she wanted.

*A healthy 88-year-old gentleman needed to find money to continue to pay for his wife’s home care needs. He had several life insurance policies. He sold his $114,000 policy for $26,000, giving him the resources, he needed to continue the care for his wife.

*A 66-year-old gentleman with liver issues had a term life insurance policy that was reaching the end of its term. He sold the policy for $75,000. This was “found money” for him, as he was going to walk away from the policy with nothing, and it was a game-changer to help make his life more comfortable.

These are just some examples of clients who were able to repurpose an asset they didn’t know they had, into cash to use to take care of themselves and their families. Our role and fiduciary duty is to represent our clients to obtain the highest amount for their policy as possible. 

Life insurance settlements are not right for everyone. Please contact your financial and insurance advisors to see if it may be right for you. But, please, do not lapse, surrender or walk away from your life insurance, before you find out if a life insurance settlement may benefit you and your family. 

REHBURG LIFE INSURANCE SETTLEMENTS has been a member of The Wellness Village since June 2019. They are a life insurance settlement broker. They are passionate about representing clients to get the most for their policy, and they are there to help.