Qualification
Four factors determine whether your policy has market value. Most people are surprised by how many of them they meet. You do not need to be terminally ill, and you do not need to be in financial distress to qualify.
See What Your Policy Is WorthTypically 65 or older. Younger policyholders may still qualify if there have been significant health changes since the policy was issued.
$100,000 or more. Higher face values generally attract more buyer interest and more competitive offers in the settlement market.
Universal life, whole life, variable life, or convertible term. Some group life policies qualify as well. If you're unsure what type you have, we can help identify it.
Any health change can increase your policy's market value. Diabetes, heart disease, cancer, COPD — conditions that shorten life expectancy increase what buyers are willing to pay.
Life settlement providers evaluate policies based on the insured's life expectancy, the policy's face value, the type of policy, and the cost of keeping it in force. Here is a closer look at each requirement:
Most life settlement buyers require the insured to be 65 years or older. Some providers will consider policies on individuals as young as 60 if there has been a meaningful change in health since the policy was issued. The age of the insured is one of the most important factors because it directly correlates with life expectancy, which is the primary metric buyers use to calculate what they are willing to pay.
The policy must generally have a face value (death benefit) of at least $100,000. Policies with face values of $250,000 or more typically attract more buyers and generate more competitive bids. There is no upper limit, but policies above $5 million may require specialized buyers and a longer marketing period.
Universal life is the most commonly settled policy type because of its flexible premiums and permanent coverage. Whole life, variable life, and convertible term life also qualify. Term policies must have a conversion option that is still in effect. Group life insurance policies may qualify if they are portable or convertible to individual coverage.
A change in health since the policy was issued is one of the strongest drivers of settlement value. Common conditions that increase value include diabetes, heart disease, cancer, COPD, and other chronic illnesses. The key is that the health change must have occurred after the policy was originally underwritten. A life settlement is not a viatical settlement; you do not need to be terminally ill. Even moderate health changes can significantly increase what buyers will pay.
Buyers evaluate the cost of keeping the policy in force until the death benefit is paid. Lower premium obligations make the policy more attractive. If your premiums are very high relative to the death benefit, the settlement value may be lower. A broker can help you understand how your premium structure affects your settlement value.
The policy must be past the two-year contestability period. Most providers also require that the policy has been in force for at least two years. This protects buyers and ensures the policy cannot be challenged by the insurance carrier after the sale.
The fastest way to find out is a 5-minute conversation. We'll tell you honestly whether your policy has market value.
We don't waste your time, and we won't push you to proceed if the numbers don't make sense. Clarity is the whole point.
Check Your Eligibility
You don't need to be terminally ill.
Life settlements are available to healthy seniors and those with manageable health conditions alike.
You don't need to be in financial distress.
Many people sell policies simply because they no longer serve their original purpose. That's a perfectly good reason.
You just need a policy you no longer need or can no longer afford.
That's the threshold. If it fits, it's worth finding out what it's worth on the open market.
Settlement value isn't random. These are the factors institutional buyers evaluate when bidding on your policy:
Older policyholders generally receive higher settlement offers. Most buyers focus on ages 65+.
Health changes often increase settlement value. Shorter life expectancy = higher offer from buyers.
Higher face values attract more buyers. $100K minimum; best results above $250K.
Universal life settles most often. Whole life, variable, and convertible term also qualify.
Lower ongoing premiums make the policy more attractive to buyers, resulting in higher bids.
More bidders = higher price. A broker ensures maximum market exposure for your policy.
Most life settlement buyers require the insured to be 65 or older. In some cases, people as young as 60 with significant health changes may qualify.
Most buyers require a minimum face value of $100,000. Policies with higher face values — $250,000 and above — typically attract more competitive offers.
Convertible term life policies can often be settled. The policy must have a conversion option that allows it to be converted to permanent coverage before the conversion deadline.
Yes. Counterintuitively, health declines can increase your settlement value because they shorten the buyer's expected holding period, making the policy more valuable at auction.
You should only sell if you no longer need the death benefit coverage. Life settlements are best for people whose insurance needs have changed - children are grown, mortgages are paid, or business obligations have ended.
An initial eligibility assessment can be done in a 5-minute phone call. The full qualification process, which includes obtaining medical records and policy documents, typically takes 2 to 3 weeks. Once the policy goes to market, the entire settlement usually closes within 60 to 120 days.
If your term life policy does not have a conversion option or the conversion period has expired, it generally cannot be settled. However, it is worth checking with a broker, as some policies have conversion features that are not obvious from the policy summary.
Yes. You do not need to be in poor health to qualify. Life settlements are available to healthy seniors who simply no longer need their coverage. However, health changes do increase the settlement value, so a healthy 75-year-old will typically receive a lower offer than one with some health changes.
Let's find out. A 5-minute conversation is all it takes to know if your policy has market value.
Free · No Obligation
It costs nothing to find out. No commitment required.
Key Points
Life settlement eligibility depends on the policyholder's age (typically 65+), health status, policy type (universal, whole, variable, or convertible term life), and face value (usually $100,000 or more).
