A life insurance policy is insignificant until you happen to use it. While there are several benefits to retaining a life insurance policy for a long time, there are times when you are in instant need of liquid money to finance your child’s education, medical bills, or buy a new home. During these times, when all doors seem shut, you can choose to sell your life insurance and receive cash in return. Yes, it is true.
Before that imaginary light bulb in your head lights up, wait. There are some mandatory aspects you need to consider.
- Let’s start by age: To sell your life insurance, you need to be at least 65 years of age or older.
- The minimum value of your life insurance policy to sell ranges between $50,000 and $100,000.
There are various similar facets you, a seller, would be required to consider before your proposal to sell your life insurance sees a green light. The process can indeed be tiring and confusing for a whole lot of people. After all, old age is to relax and not for paperwork, isn’t it? The best way to go about your life insurance settlement is through a life insurance settlement expert, someone with a sound knowledge of dealing with selling life insurance policies. These experts guide you throughout the process, help you check your eligibility, clear paperwork, and ultimately with the cash in hand. Provided they come with fees, but at the end of the day, it’s all worth it.
On the other hand, if you happen to suffer from a life-threatening disease or illness, you can surpass the eligibility criteria of age and get value for your life insurance from varied registered life insurance settlers in a much shorter span. This kind of settlement is called a Viatical Settlement. This category of settlements is much faster and provides a greater value for life insurance. However, it is also necessary to take note of the various companies that are willing to purchase your insurance. Not all companies give you the best rates. Some even charge hidden charges that negatively impact your overall cash in hand. Make sure you go for a company that values your life insurance rightly and maintains transparency. Don’t be hasty. Compare the price of various companies and choose the right one.
At the end of the day, you have spent thousands of dollars, if not more, on keeping your life insurance active for many years. You cannot undervalue your investment in your life insurance. If you think it’s the right time for you to sell your life insurance, go ahead, consult a life insurance settling expert, get your papers ready, check for eligibility, and get approved. Companies can take anywhere between a few days to a couple of weeks or months to settle the entire process. If you feel confused about which company to choose, ask your friends, family or, you can also consult the many settlement experts. All the best!