iYou’ve just helped your client complete a life settlement. Congratulations! You’ve saved them years of expensive premium payments, increased their financial security, and given them a financial cushion in case they need long-term care.

Now that your client has received their lump sum payment, the question becomes - now what?

While some clients may know exactly how they want to use the funds received from a life settlement, others will need some guidance. First, all clients should have a discussion with their tax advisor about the tax implications of the transaction.n

Depending on your client’s circumstances, however, there may be other things that they need guidance with after a life settlement.

Providing for long-term care

If your client is currently in long-term care, he or she might have already decided that the lump sum would be used to pay the facility. That’s why some policy owners complete life settlements in the first place - to fund their long-term care needs.

If your client is not in long-term care currently, however, you might still want to discuss the possibility of using the funds to pay for any future care needs.

Long-term care costs are growing rapidly, and many families are struggling under the financial weight. Placing a lump sum into an account that’s reserved for paying for long-term care or medical care can give your client - and their family - peace of mind.

Managing estate changes

If your client is planning to include the proceeds from the life settlement in their estate as an inheritance, they may need to consider whether, and how, the addition will change the probate process for their heirs.

If the life settlement sum will affect the estate significantly, your client may want to use other methods of transferring, such as gifting, or a transfer on death (TOD) account, to pass these funds to their heirs.

The need and the options will vary depending on the state in which they live.

Planning for later retirement needs

Many, if not most, Americans underestimate how much they’ll need for retirement, largely because they don’t take into account the growing cost of healthcare, as well as the increase of longevity.

A life settlement can give you a great opportunity to re-open the retirement conversation with your client.

Clients who want to use life settlement funds to increase their retirement savings may need guidance as to what kinds of accounts to use for the money, how to invest it, and how much and how often to withdraw. This discussion can open up many options and enhance the advisor-client relationship.

Once a life settlement is completed, the conversation isn’t necessarily over. Many clients will need additional assistance as they decide when and how to use the lump sum payment. For more on helping your clients during the life settlement process, read our post “Building Strong Relationships with Senior Clients - And Their Families.”

One issue that financial advisors, elder care lawyers, long-term care advisors, and insurance advisors may all experience in common is that they don’t know when a life settlement might be a good fit for a client.

Since many financial professionals are unfamiliar with the life settlement market already, it can be difficult to determine how it might work given a specific client’s situation. Will it have any retirement implications? Will it change their estate plans? Will it affect their adult children? (more…)

Caregiving today looks very different than it did 50 years ago. Thanks to improvements in medicine, technology, and psychology, among other things, today’s family caregivers have more resources available to them, as well as a greater ability to maintain their loved one’s quality of life.

With the speed at which technology is currently developing, family caregiving is going to look even more different in 5 years - in fact, we’re on track to have more change in these next five years than we did in the last 20. Here are just a few things we can expect from the future of family caregiving. (more…)

For as long as many of us can remember, seniors who needed a little help getting around had two options: move in with family, or enter an assisted living community.

Most seniors, of course, would rather stay in their homes, but this often proves so difficult that they find themselves unable to do so. Unfortunately, the decision to move often happens after a crisis, like a health scare or fall. (more…)

As retirement has changed over the past several decades, longevity has become a more and more important part of financial planning.

As life expectancies gradually become longer, company pensions continue to disappear, and long-term care becomes more expensive, the unwelcome possibility of outliving one’s money has become more of a concern. (more…)

One of the most frequently asked questions the Ashar team receives when speaking with advisors is “How do I identify life settlements cases?” Financial professionals and fiduciaries want to know how to best serve their clients but aren’t sure what situations are a good fit for a life settlement.

The great news is, you don’t have to become an expert in the secondary market to identify opportunities in your current practice. In most cases, existing life insurance is an aspect of every planning discussion you have with a client. (more…)

As the current year draws to a close, many financial advisors are busy planning for the one to come.

For many advisors specializing in retirement planning, that means building their client base, learning new skills, or venturing into new financial territory. If you’re looking to attract more retirement clients in 2018, here’s a checklist to guide you. (more…)

Experienced financial advisors have handled all sorts of situations throughout their careers. From weathering economic ups and downs, to helping individual clients with unusual life circumstances or needs, financial advisors know that versatility and a wide knowledge base are key to earning and retaining their clients. (more…)

As a responsible financial advisor, you know that protecting your client’s best interests throughout a life settlement requires working with a licensed life settlement broker.

But once you’ve decided to work with a life settlement broker, how do you decide on the right one? Here are a few guidelines that can help you ask the right questions, and ensure you find an experienced, compliant, and ethical broker. (more…)