Life settlement providers and brokers play a significant role in connecting policyholders with buyers. But, your responsibilities go a lot deeper than that. You also have an obligation to ensure policy owners make well-informed decisions when it comes to selling their life insurance. This is especially the case for many brokers, who may have a fiduciary duty to adhere to their client’s best interests.
When an elderly parent’s health deteriorates, it can become necessary to appoint older children as trustees. A trustee takes legal ownership of the assets held by a trust and assumes fiduciary responsibility for managing those assets and carrying out the purposes of the trust. This includes managing financial assets such as life insurance policies.
Life insurance settlements have been around for over a century, yet many are still uninformed about the development of the process and how it came about. In this blog, we’ll highlight all the pivotal moments for the life settlement industry and how this has affected the industry today.
1911
Grigsby v. Russell: The U.S. Supreme Court ruled that life insurance policies are an asset. Like all assets, life insurance policies are now freely assignable for value.
