Question 1

How much can you sell a $100,000 life insurance policy for?

Accepted Answer

A $100,000 life insurance policy has no fixed sale price, because the price depends on the insured's life expectancy and the cost of keeping the policy in force. At $100,000, which is Evergreen's minimum face amount, a policy generally needs a strong profile to draw buyers. A Market Value Projection shows whether there's a market for it.

Question 2

Is there a standard percentage of the death benefit I can expect?

Accepted Answer

No, there is no standard percentage of the death benefit you can expect from a life settlement. A percentage-of-face rule of thumb ignores life expectancy, premiums, and buyer demand, which drive the price. Two policies with the same death benefit can draw very different offers, or none at all.

Question 3

Is a life settlement calculator accurate?

Accepted Answer

A life settlement calculator is not accurate for an individual policy. Calculators rely on a few general inputs and can't reflect the underwriting, premium schedule, carrier, or buyer demand behind an actual offer. Treat an online number as a rough guess, and rely on a projection built from your policy documents.

Question 4

Does a Market Value Projection cost anything?

Accepted Answer

No, a Market Value Projection doesn't cost anything: Evergreen's Market Value Projection is free and carries no obligation. Requesting one doesn't commit you to sell, and you can stop the process at any time.

Question 5

Can I sell a $10,000 life insurance policy?

Accepted Answer

A $10,000 life insurance policy can't be sold through Evergreen, because Evergreen's minimum face amount is $100,000, and policies below that level rarely draw interest from institutional buyers. For a smaller policy, ask your insurer about an accelerated death benefit rider, conversion, or other options built into the contract.

Question 6

Do I have to accept an offer?

Accepted Answer

No, you don't have to accept an offer on your life insurance policy, and you can decline any offer. The NAIC also notes that in many states, sellers can change their mind for a set period after closing by returning the money they were paid and any premiums the buyer paid. Rules vary, so check Evergreen's regulation page for your state.

Evergreen Insights

How Much Can I Sell My Life Insurance Policy For?

Can You Sell a Term Life Insurance Policy?

Fiduciary Duty in Life Settlements: What Advisors Owe Their Clients

Why Two “Identical” Policies Can Get Meaningfully Different Life Settlement Offers

Life Settlement Opportunities: How Advisors Find Them

Life Settlements for Healthy Clients: The Asset Blind Spot

Broker vs Direct Buyer: Why the Conflict of Interest Matters

Life Settlements for Long-Term Care Costs: A Strategy Advisors Should Know

Life Settlement Estate Planning: Unlocking Value in Changing Estates

Life Settlements for Business-Owned Policies

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