Senior Settlements Statistics

The market for senior’s life settlements has continued to grow exponentially, gaining increased acceptance as a useful financial planning tool for individuals with unneeded life insurance.

The number of people in the United States aged 65 and older is expected to double by the year 2030 to nearly 71 million people. Seniors will comprise roughly 20 percent of the U.S. population¹.

For that reason alone, prudent financial advisors would do well to familiarize themselves with the secondary market for life insurance and the life settlement process.

The following statistics should put the opportunity in proper perspective:

• Approximately $27 trillion of life insurance is currently in force².
• 90% of policies lapse or are surrendered annually. Hence, the majority of seniors’ policies do not remain in effect³.
• In 2008, more than $16 billion in life settlement transactions occurred⁴.
• Every day in the United States, 6,000 people turn 65⁵.
• 47% of those over age 65 own life insurance⁶.
• 59% of senior settlements clients are between the ages of 71-80⁷.
• Since 2005, the average life settlement offer is three to five times the cash surrender⁸.

Free Life Settlements Consultation

If you are a professional advisor, call (877) 600-9550 Ext 12 to secure the highest possible cash offer for your client's life insurance policies.

¹ Centers for Disease Control and Prevention and The Merck Company Foundation. The State of Aging and Health in America 2007
² Federal Reserve Bulletin, 2006
³ Life Insurance Settlement Association Web Site, 2009
⁴ Life Insurance Settlement Association Web Site, 2009
⁵ The Alliance for Aging Research, 2008
⁶ Bernstein Research Call, 2005
⁷ National Underwriter, 2008
⁸ Life Insurance Settlement Association Web Site 2009