Life settlements can be a powerful financial tool, but they often raise questions. At ManorLiving.org, we’re here to provide clarity. Here are the top 5 questions we get about life settlements:
1. Is a life settlement legal?
Yes! Life settlements have been legal in the U.S. since 1911, when the Supreme Court ruled that life insurance policies are assets that can be sold.
2. Who qualifies for a life settlement?
Typically, seniors aged 65+ with policies valued at $100,000 or more may qualify. However, younger individuals with specific health conditions might also be eligible.
3. How much will I receive from my policy?
The payout depends on factors like your policy type, its value, and your health. On average, it’s significantly higher than the policy’s cash surrender value.
4. Will I have to pay taxes on the money I receive?
Tax implications vary based on individual circumstances. We recommend consulting a tax advisor to understand how it applies to you.
5. Is the process complicated?
Not at all! ManorLiving.org simplifies the process with free evaluations and step-by-step guidance.
Have more questions? We’re here to help you explore your options.
