Life Settlement Information For Attorneys

Attorneys have a unique relationship with their clientele. If you can fully understand the life settlement opportunity, you can better assist your clients in making the most appropriate legal and financial decisions.

Who Benefits from a Life Settlement?

Which of your clients will be helped most by a life settlement? If your clients are:
 
 

• 76 years or older
• have parents who are 76 years or older
• any age and have a chronic or terminal illness
• considering moving to a continuing care retirement community

The Legal Environment for Life Settlements

As life settlements become more widely used in estate planning, family law and bankruptcies, attorneys involved in these areas of practice must become familiar with their application. Your client’s needs are changing swiftly. A life settlement may be an opportunity to help you fulfill your role as a legal and financial advisor.

Because life settlements remove the life insurance benefit from the original beneficiary’s estate, attorneys are being asked to evaluate the tax, estate, and probate considerations resulting from a life settlement transaction.

Your due diligence may be required, not only in evaluating a life settlement as an option for a client but also in evaluating brokers and providers. Regulations and laws pertaining to life settlements and life settlement brokers vary from state to state.

We can help you educate your clients about the benefits of life insurance settlements.
Call our corporate office at (877) 600-9550 Ext 12 for more information.

Estate Planning and the Life Settlement

Life settlements are a valuable tool in estate planning. They inherently provide flexibility in the estate planning process and allow estates to leverage the value of a life insurance policy as a true asset. Including life settlements in the range of financial options will ultimately provide for the best estate planning possible. Examples include:

• Value of estate has changed and insurance coverage is no longer inline with needs
• Funds needed to purchase other investments or more appropriate life insurance coverage
• Proceeds can be used to more effectively distribute an estate to heirs
• Desire to immediately fund charitable donations while client is still alive
• Increased Unified Credit and decreased estate values often make some or all of existing life insurance an unnecessary financial commitment or burden.