Company-owned key man policy on a retiring business owner. Due to the costly conversion premium, the company planned to lapse the policy. The retiring business owner negotiated for the policy ownership to be transferred to him. Afterward, his advisor suggested he have his life insurance policy asset appraised for secondary market value.
On the verge of outliving his planned coverage
A life settlement created value and alleviated future premium payments.
Client outlived all planning and premiums were due
The adult children no longer needed to fund the caregiving needs.
Could no longer afford premiums
Received a lump sum and reallocated premiums for today’s needs.
