Life settlements are becoming more and more common, as people realize the potential financial benefits that they can unlock from their unwanted or unneeded life insurance policies. In fact, Americans received almost $848 million in payouts last year from selling their life insurance policies into the life settlement market. That’s money that these policy owners would have lost entirely if they had let their policies lapse and is far greater than policy owners would have received if they had surrendered their policy back to their life insurance company. In fact, on average, policyholders average a payout of 4X more than the cash surrender value in a life settlement.
