Good news travels fast.
Following the recent announcement that the secondary market for life insurance grew by 19% in 2017, we’ve taken calls from a number of advisors wanting to discuss potential cases.
Some calls came from financial professionals who previously had been sitting on the sidelines while weighing the market’s stability and regulatory environment.
After 20 years, they’re convinced.
It seems that many professional advisors are viewing life settlements in a whole new light. As part of their due diligence efforts, some estate planning professionals and CPAs tell us they now consider it their fiduciary duty to inform clients of the life settlement option when the situation warrants it.
Convinced — but Confused
Many professional advisors recognize that their valued clients are entrusting them to maximize the market price of their insurance asset and to execute the transaction in a fully transparent and compliant manner. Clients want to know that they can sell with confidence — while leaving no money on the table.
Although more professional advisors are convinced that in certain situations a life settlement is the most favorable (and lucrative) exit strategy for an unwanted policy, some advisors are not clear on which path to take as it relates to selling their clients’ policies. Should they sell a policy directly to a provider (buyer) as they’ve seen on TV? Or, should they partner with a life settlement broker who will initiate an auction process to elicit competing bids from multiple providers in pursuit of the highest offer?