Get Cash Now
Get the cash you need now. Cash in your policy for more than the surrender value.
Monthly insurance premiums add up. Cash in your policy and free up cash flow.
Pay Medical Expenses
Medical expenses can become a burden. A life settlement can be the solution
Enjoy Your Now
Life is to be enjoyed. It’s time to plan yours now. What will you do with the extra cash.
Turn Liability Into Possibility:
Life-insurance policy’s can get expensive and many policyholders needs have changed. Some let their policies lapse, others trade it in for the surrender value. Both options leave money on the table. If you want to maximize your life insurance policy investment there is a better way.
Hidden Gem Life Solutions is the answer. We understand that this is your money and our expert agents are here to fight for you. We are trained and experienced to guide you through the Life Insurance Settlement process. Hidden Gem Life Solutions main goal is to get you the largest settlement in the fastest turnaround.
What is a life settlement?
A life settlement is the sale of a life insurance policy, generally by a senior citizen. This typically occurs when an individual no longer needs the policy, or when the premiums become unaffordable. A life settlement is a valuable financial option for policyholders who no longer have a need for their life insurance policies. Instead of lapsing or surrendering a policy, qualified policyholders can now cash them in to receive a fair value for their asset.
What is a Viatical Settlement?
A viatical settlement is the sale of a permanent life insurance policy by a terminally ill or chronically ill individual to a third party. This occurs when the individual needs extra funds for medical expenses, wants the funds for end-of-life expenses or to free up cash immediately . The seller no longer pays the policy premiums and third party (viatical provider), pays all policy expenses. Viatical settlements often pay more than conventional life settlements.
Why Sell Your Policy?
Policy Isn't Needed Anymore
If the circumstances surrounding the policy’s origination have changed, a life settlement could benefit the policy owner more than continuing to maintain the policy.
Pay For The Ideal Retirement
Retirees hope to enjoy their golden years after years of employment. A Life Settlement could help to realize the dream of retiring by traveling or living new experiences.
Pay For Professional Medical Care
With medical bills and long-term care costing seniors more every year, life settlements are becoming a popular option to pay for it in an easy way.
You Can't Pay The Premiums
Some major insurers have boosted premium rates by as much as 200 percent. A life settlement can provide extra cash and help the owner get rid of payments.
Policy Will Expire Soon
If a term policy is allowed to lapse, its owner may receive little to nothing. This type of policy can be sold in a settlement.
Pay For A Senior Living Community
Many seniors are drawn to the idea of a senior living community, the average cost of this is upwards of $3,000 a month. A Settlement can be a way to pay for it.
Frequently Asked Questions
Research shows that Americans age 65+ leave approximately $112 billion in benefits on the table each year by lapsing or surrendering their life insurance policies. A life settlement is a great option for capturing some of those benefits rather than forfeiting them back to the insurance companies.
For more than 20 years, the secondary market for life insurance has provided a trading environment for policy owners to sell unwanted life insurance policies to alternative buyers. The market is comprised of a variety of business entities, including life settlement brokers, providers, investment firms, law firms, medical underwriters, consultants, actuaries, trustees & escrow agents. The secondary market continues to gain traction because it benefits consumers seeking to monetize a static insurance asset, and because it benefits buyers seeking investment returns from a non-correlated asset not tied to the volatility of the stock market.
Life insurance has been a core part of the personal finance planning since the 1800s, but many financial advisors and insurance agents are unaware that a senior’s life insurance policy is personal property in every legal sense. The legal basis for life settlements as a legitimate option for life insurance owners can be found in the Grigsby v. Russell decision from the U.S. Supreme Court in 1911, where it ruled that life insurance is just like any private property you own and can therefore be sold.
Accelerated Death Benefits are paid by an insurance company on an existing policy. It is an insurance policy provision that lets you collect part of your death benefit before you die. If you have a terminal illness, the policy advances you a specified part of your death benefit to pay medical bills or other expenses. This amount is subtracted from the death benefit your beneficiary receives.
The money given by an insurance company to a policyholder once they choose to terminate their policy is known as the cash surrender value. This value is generally far less than the value the policyholder will receive through a life settlement.
Every policy is different, unique and has its own individual worth. Give us a call or fill out the form and we will provide you with a free, no obligation quote.
Life settlements are taxed in three tiers.
- Proceeds received up to the tax basis are free of income tax.
- Proceeds received that are greater than the tax basis up to the amount of the cash surrender value are taxed at ordinary income rates.
- Proceeds received that are in excess of the cash value get taxed as capital gains.
Term policies still convertible to Universal Life (If term policies can still be converted into a UL product without any additional underwriting requirements by the life insurance carriers). In most cases, buyers will not consider a non-convertible term life insurance policy for purchase, because of the risk that the insured will outlive the term coverage. A whole life insurance policy typically has a large amount of cash value built up within the policy, and high required premiums, which make the pricing for a life settlement transaction unattractive. Variable life insurance sold in a life settlement transaction is considered a securities transaction, which limits the number of buyers in today’s marketplace.