The life expectancy is the measure of current health of any one individual and their ability to recover from their particular illness. As seniors 65+ face the everyday trials of life, the reality of the inevitable occurs and their health deteriorates. There are however opportunities in diversity.
When a life insurance policy is issued its expense is based on the law of large numbers. In other words if you buy a life insurance policy and you have health adversities they charge you more. If you purchased the policy when you were healthy they charge you less. If you have the life insurance policy and an illness occurs that shortens your life expectancy the policy becomes more valuable because of the time value of money.
Illnesses affect the longevity of one’s life expectancy, shortening the time we have to live as an individual. When this occurs the opportunity for a life settlement (the sale of an existing life insurance policy) becomes a reality. A life settlement can often yield a greater value depending on the need of the insurance and the need for a cash settlement.
These are complicated transactions and require an experienced life insurance agent to identify the needs of the policy owner and help determine the sale ability of the life insurance. Many seniors decide to sell their policies; it is worthy to note that life settlements because of a shortened life expectancies yield approximately 7 million dollars per day to seniors.
For a free review of your policy go to LIVEpdq today.