By: Laura Walker
People of all ages are feeling the effects of today’s challenging economy. While professionals may have opportunities to upskill or increase their income, seniors often face more limited options. LCX Life seeks to help financial services professionals connect their clients with a solution that could provide meaningful financial support: a life settlement.
A life settlement is a transaction in which a policyholder sells a life insurance policy for a lump sum. While the sale amount is typically less than the policy’s death benefit, it is often greater than the cash surrender value. This allows the policyholder to receive immediate liquidity and no longer be responsible for paying premiums. When the policy matures, the buyer receives the death benefit.
For seniors, life settlements can be used for daily living expenses, but they may also offer additional financial flexibility. Some policyholders may choose to use the proceeds to settle outstanding debts and gain a sense of financial relief. Others may decide to reinvest the funds into a new life insurance policy that better aligns with their current needs or explore other financial products.
LCX Life also provides a unique benefit through its life settlement partners. Seniors have the option to use their settlement funds to contribute, under certain conditions, to a benefit account that can make payments toward residential or in-home senior care. This benefit is designed to be a significant relief for seniors and their families.
In some cases, seniors may attempt to find life settlement options on their own. However, working with a financial advisor or other professional can be beneficial for several reasons.
Seniors who attempt to sell their policies independently may end up accepting offers for amounts lower than they might receive with the assistance of a skilled advisor who has strong industry connections. A financial advisor can also provide guidance on how to use the proceeds from the sale of the policy effectively.
The life settlement industry has gained attention as it offers a potential solution for older adults facing financial challenges. By involving a financial advisor, LCX Life goes beyond the traditional life settlement process, and aims to help seniors feel more confident and informed in their decision-making.
LCX Life offers more than just a connection between financial professionals and their clients looking into life settlements. If the advisor and client decide that a life settlement is an appropriate option, LCX Life supports them through a straightforward, four-step process:
- Step 1: An online calculator provides an estimate of the potential life settlement value.
- Step 2: LCX Life reaches out to the financial professional.
- Step 3: LCX Life assists in onboarding the client.
- Step 4: The client receives the settlement, and the financial professional earns a referral fee.
Financial professionals understand that providing value to clients often involves offering a variety of solutions, not just focusing on the latest trends. By collaborating with LCX Life, financial professionals can give their clients access to a range of options that may help secure their financial future.
Disclaimer: This article is for informational purposes only and does not constitute financial, legal, or tax advice. Life settlements involve complex considerations and may not be suitable for everyone. Readers should consult with a qualified financial advisor or licensed professional to determine what options are appropriate for their individual circumstances. LCX Life does not provide financial advice, and any decisions made based on this article are the sole responsibility of the reader.
Published by Jeremy S.
