A Life Settlement can be an extremely attractive alternative for policy owners considering lapsing or surrendering their life insurance. Life settlements have helped unlock billions of dollars of hidden value for policy owners.
As time passes, it is very common that a policy owner's planning needs will change and their life insurance is no longer the priority it once was. A Life Settlement may be the best option. Understand the value of every policy before a change is made.
Low interest rates have caused many policies to significantly underperform. Cash options, as well as options to retain death benefit, offer consumers attractive solutions when faced with higher premium demands.
What is it?
How does it work?
What are funds used for?
Evergreen Advantage
What's New?
Our knowledge of the secondary market for life insurance translates into superior results for all those we represent.
We are dedicated to the principle of treating each policy as though it belongs to a family member. That client first philosophy is woven into everything we do. If you are looking for a partner, someone to put you first, welcome to Evergreen.
Give us a call at 877-778-7991 or send us an email to discuss what unique solutions may exist for you or for your clients.
A term policy, that was too expensive to keep, was about to be lapsed. Our process helped the policy owner uncover value where none was thought to exist anymore.
Insured| Male age 75
Policy Type| Term
Face Amount| $250,000
Cash Surrender Value| $0
This policy owner purchased a term policy for the income protection it provided. As the need for the coverage diminished ands the conversion deadline approached, he was advised to have the policy evaluated. He wasn't able to pay the increasing premium to maintain the policy or to convert it. Rather than allow the policy to lapse and receive nothing in return, he chose to sell the policy and use the funds to enhance his retirement.
Estate planning needs had changed, leaving a family trust with excess insurance. Working with Evergreen, they were able to sell their policy for more than 20x it's surrender value.
Insured| Male age 90
Policy Type| Survivor Universal Life
Face Amount| $2,000,000
Cash Surrender Value| $54,000
The grantor, of this policy had funded premiums for almost 25 years to provide additional liquidity for his family and to balance his estate. As the family needs had changed, his CPA suggested having the policy appraised so they understood all of their options. They no longer had the same estate tax issues, and other planning was properly in place. They were able to distribute the proceeds of the sale and continue to gift, what would have been, premium dollars.
A policy owner could no longer keep up with the rising premiums of his universal life insurance policy and feared it would lapse. We were able to help him sell the policy for more than $160,000 above the surrender value.
Insured| Male age 77
Policy Type| Universal Life
Face Amount| $730,000
Cash Surrender Value| $29,000
This policy owner purchased his UL policy in 2001 for estate planning purposes. After selling his business, the need for the policy had changed. The premiums were increasing, and the policy had a loan that made it even more difficult to maintain. After a few years of minimally funding the contract, the policy owner decided it was time to let go. Selling the policy not only relieved him of the loan and the burden of the premium but it also allowed him address more pressing financial needs.
A healthy 75 year old female was the insured on an underperforming, trust-owned universal life policy that was being considered for a surrender. Evergreen's efforts yielded a significantly more attractive exit strategy.
Insured| Female age 75
Policy Type| Universal Life
Face Amount| $1,344,000
Cash Surrender Value| $110,000
A recent review was projecting the premiums to be too expensive for the insured's trust to maintain. As a result, the insured and her daughter, the trustee, were discussing surrendering the policy. With her health similar to when the policy was issued at preferred rates in 2001, they didn't think a Life Settlement was an option. After being advised to have the policy appraised before making any final decisions, they were excited to find the policy's market value was far in excess of the surrender value.