Who benefits from a Life Settlement?

Both the Seller and the Purchaser benefit. The Seller benefits since they received cash for an unwanted or obsolete asset and at the same time they eliminate an unnecessary premium payment and/or ongoing maintenance. Senior settlements, LLC benefits by utilizing the life settlement in a portfolio of policies used as collateral for institutional investors purchasing asset backed securities.

How does a Life Settlement differ from a Viatical Settlement?

Viatical Settlements are geared toward the terminally ill that usually have a life expectancy of 24 months or less regardless of age. Many of these individuals are selling their policy to pay medical expenses and live the remainder of their lives with dignity without becoming a burden on family and friends.

Life Settlements are for Senior's 65 or older, in many cases healthy with no life threatening or terminal illness. There are several reasons why this type of transaction takes place. The policy may have become cost prohibitive and has outlived its use or the sale is used as a financial planning tool. In many instances the monies received are used for estate planning or reinvestment purposes.

Who pays the life insurance premium?

Once the policy is sold, US Bank, in its capacity as trustee and securities intermediary will make all premium payments. The premiums are the responsibility of the financing facility, which in this transaction is Dresdner Bank. Premiums are paid annually in order to reduce maintenance costs associated with monthly or quarterly payments. The Seller has no future premium obligations and will never receive a premium notice.

How do I get started?

Since the lump sum amount paid on each policy is a basic function of the present value of the future asset it is necessary to approximate a maturity date. The Company will require certain information from both the Insured and Seller. Once received, this information is forwarded to an independent company for an estimated maturity date. Once this is calculated an offer is presented to the Seller. All information is held in the strictest confidence by the Company.