Life Settlement Plans: Top Client Concerns

Published On November 6, 2018 | By Andrew Williams | Sales & Services

When you choose brokers or providers for settlement of life insurance, there will always be one person who will collect your information. While brokers can be expensive, you can enlist the help of a settlement provider who will do the same task for an affordable rate, with no added commission.

It is known that people can be quite doubtful about the life settlements and other settlement options life insurance. As the market has become saturated with information, regarding the benefits of selling your life insurance policy, the perception of life settlement plans is beginning to change. Although this does not mean that customers are 100% doubt free, they still seem to have some concerns before they decide on life settlement plans.

In this article, I have listed the three common concerns clients usually have with life settlement plans and how to deal with each of them.

Overcharging:

In any given time, life settlements are meant to provide relief to the insurer when he/she decides to sell it off; but, one the primary reasons people tend to hesitate in selling their life insurance policy is because of the exorbitant rates that are quoted as the brokers’ commission.

When potential clients seek out brokers, they tend to quote high rates that will include their commission as well. Some even charge more than what your life settlement would cost. This has created a doubt in the life settlement market, claiming it to be an expensive alternative when it isn’t. Thus, it is best to seek out the help of a licensed professional life settlement provider who will not overcharge you and will guide you through the process, from start to finish. Over time, many changes have taken place, and this is proof on why life settlement providers become a preferred choice for potential clients.

Privacy:

When you decide to sell your life insurance, you have to provide specific personal information; this includes a medical history and all the information contained in your life insurance policy that has to be disclosed. After you sell your life insurance, you may get calls from your provider seeking information about your current health status. Since the providers deal with private information, you are ensured that it will remain confidential.

To make sure that your providers ensure that the service is confidential, always check for the privacy policy clause in your settlement claims and that the agency is licensed and certified.

Life security:

Many customers feel insecure about this since they fear of getting harmed by the investors who might plan to get the policy benefits early. This is why insurance policies are sold to an investor in bulk. Hence, an investor will not get benefits from just your policy, while this is an effort to reduce the risk, to date, there has not been any foul play reported.

However, to be safe, make sure there is a mediator when selling your insurance policy and avoid selling it directly to the investor. Life settlement providers can be trusted since they are licensed and verified by the state.

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