Policysettlement.com's disclosure procedures are intended to meet or exceed the state regulatory disclosure requirements governing the life settlement agreements and procedures utilized for transactions resulting from this website.
Policysettlement.com considers excessive life settlement commissions to be a predatory behavior that is an abuse of insured and policyholder trust. To combat this practice, we require affiliated brokers to provide the seller with a full disclosure of all life settlement commissions received and paid. We also require advance disclosure of anticipated life settlement commissions that could result from life settlement agreements. A consumer has the right to know the life settlement commissions they should expect to pay before they engage the services of a life settlement broker. Policysettlement.com also requires that brokers adhere to life settlement agreements that limit life settlement commissions from exceeding uniform guidelines.
A life settlement is just one of at least ten possible choices that may be available to you. We go beyond the usual life settlement agreements to help you gauge and prioritize your specific financial concerns to make sure a life settlement is the best alternative for you.
Individuals who need replacement coverage must always determine its availability before executing life settlement agreements for the sale of an existing policy.
Of significant importance is the "capacity issue", since life insurance companies do not allow individuals to purchase unlimited amounts of coverage. Capacity is determined primarily by the insured's financial position and results in a finite limit of available protection. Since a life settlement policy remains in force, it is a part of that limit and reduces the amount of available replacement coverage.
Of equal importance is the "medical issue" which pertains to the health of the insured and determines both availability and affordability of new coverage. To prevent a "gap", the seller should secure written approval for new coverage along with verification the replacement policy will be effective no later than the day coverage is expected to end under the life settlement agreements for the policy being sold.
For more information please see policysettlement.com CEO Norman A. Hood's comments in the November 2, 2008 National Underwriter replacement coverage article .
Be aware that if the same entity handles the purchase of replacement coverage and the sale of an existing policy, they may receive life settlement commissions for selling your old policy and life insurance commissions for getting you a new one.
Our privacy page discloses how we use the information you provide to price your policy. In addition, we require everyone who participates in your transaction to adhere strictly to the terms of their life settlement agreement and compel them to meet and hopefully exceed all best practice standards for safeguarding privacy before and after a policy is sold.
The suitability of a life insurance settlement depends on the emotional and financial considerations of the policy owner(s), the insured(s), and the current beneficiary or beneficiaries. We help you gauge and prioritize the most common concerns related to the risks of living too long (longevity risk) and dying too soon (mortality risk). Prioritizing your concerns can help you decide if a life settlement is in your best policy option and how life insurance or settlement proceeds can best be utilized to compliment your overall financial plan.
In regulated states we require the brokers we select to provide disclosures including those that overlap or are in addition all of those previously described.