How Does A Life Settlement Work?
How Does A Life Settlement Work?
To break it down, a life settlement involves selling a life insurance policy through a provider (such as ourselves) in exchange for a lump-sum cash payment.
This payment will almost always exceed the policy’s surrender value. For Term Life Insurance policies, this surrender value is typically zero.
More than half of Life Insurance policyholders do not maintain their policies for the entire term. We work with policyholders who are considering lapsing their policies and present them with a relatively more attractive option. We do not ask any health questions and after reviewing your policy, will typically offer a payment ranging from £2,000 to £20,000 (although the payment could be outside this range in some cases).
Once an offer is accepted, a short and straightforward documentation process will begin, and upon completion and full review, the policyholder will receive the agreed-upon valuation of their policy within 48 hours. There is a 14-day cooling off period should you change your mind for any reason.
We are currently the only life settlement provider in the UK that purchases Term Insurance policies.
To find out more, watch our video on how the process of selling your life insurance works.
How It Works... Explained in 6 Simple Steps
Complete our online valuation calculator to find out the value of your term life insurance policy
Our calculator is designed to estimate the value of your life insurance policy, this estimate helps you understand the potential worth of your policy before proceeding further.
Book a consultation with one of our experienced Account Managers or proceed to the next stage
After obtaining the estimated value of your life insurance policy, schedule a consultation with one of our experienced account managers or alternatively proceed to the next stage of the process. If you want to book an appointment online with one of our experienced account managers you can do this through our website or by contacting our customer service team. During this meeting/call, our account manager will discuss your specific needs, answer any questions you may have, and guide you through the next steps in the process.
Complete the documentation process
Once you decide to proceed, you will need to complete a brief document process. This typically involves completing a short questionnaire and providing the following, a copy of your life insurance policy, proof of identity and proof of premiums monthly payments. Our team will help assist you in gathering and submitting these documents to ensure a smooth and efficient process. This step is crucial for verifying the details of your policy and confirming your eligibility for a firm offer.
Receive a firm offer from us
After we have reviewed your documents and verified your policy details, we will provide you with a firm offer. This offer represents the amount we are willing to pay for your life insurance policy. You will receive the offer in writing which will be available in our online portal for you to review and sign, along with a purchase agreement and our terms and conditions associated with your offer.
Once satisfied with your offer, simply sign all relevant documents and send them back to us
If you are satisfied with the firm offer, the next step is to sign the assignment deed which will need to be witnessed to finalise the transaction. These documents will need to be carefully reviewed to ensure you understand the terms and conditions before signing. Once signed, send the completed documents back to our address via a free postal envelop provided to you.
Once we have received and processed your signed paperwork, we will issue your payment within 48 hours
Our team will ensure all paperwork is in order and initiate the transfer of funds, you can expect to receive the agreed-upon payment within 48 hours of all documents being processed. You have a 14-day cooling off period should you change your mind for any reason.