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Overview: Creating liquidity from existing Life Insurance
Life insurance can help your clients address a wide range of financial goals, from meeting estate tax needs to protecting against various business risks. But when your clients’ circumstances change due to retirement, a change in overall estate size or the sale of a business, they may no longer need or want to maintain certain policies. Through the financial services provided by allsettled Group Inc., you now can offer your clients the opportunity to sell their existing life insurance policies. The proceeds can be used for any purpose, including reinvestment in other financial resources that better suit their current needs. The result: you’re able to enrich your clients’ overall financial plans while capitalizing on new opportunities.
A solution when your client's needs change
The basis for presenting this option to your clients is a change in circumstances that makes an existing life insurance policy unnecessary or unwanted. For example:
Selling a Business
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A client has a policy previously purchased to finance a buy/sell agreement that is no longer needed after the business has been sold to a third party. |
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Because of a change in ownership, a key-man policy is no longer necessary. |
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Charitable/Non-Profit Organizations
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A not-for-profit organization can sell a gifted policy to supplement its current cash flow. |
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Life Settlements allow donors relief from premiums while providing tax advantaged gifts to the organization. |
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Re-examining Corporate-Owned Life Insurance (COLI)
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A change in tax law has made some leveraged COLI programs uneconomical.
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A company owns policies purchased to fund deferred compensation or retiree benefit compensation or retiree benefit programs after such programs have been changed.
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Addressing New Estate Planning Needs
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A reduction in a clients’ estate size or a change in tax policy means less insurance is required to pay projected estate taxes. |
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A client has a change in his/her financial condition and the premiums are no longer affordable. |
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A client outlives his or her family or beneficiaries. |
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Enrich your clients’ overall financial plans while capitalizing on a new opportunity.
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