In the insurance business, it’s well known that aging Americans are facing a shortfall in providing for their retirement years.
Ways and means of shoring up this deficit are eagerly sought by clients.
One promising approach is the life settlement transaction. This involves transferring ownership of a life insurance policy to a third party in exchange for cash. The buyer takes on the burden of making the payments and receives the death benefit when the original purchaser finally passes away.
Life settlement transactions were in focus at the recently concluded conference of the Life Insurance Settlement Association (LISA). Speaking at the conference, industry insider Bob MacDonald encouraged his audience to plan hard for the future. He said the life settlement industry should be presented more aggressively to clients as a solution for income shortfalls in retirement.
Dan Veto, another insurance industry leader, spoke about the challenges posed by the large number of individuals reaching retirement. The Baby Boomers are reaching the end of their working lives and could perhaps live longer than any previous generation. Innovative ways of providing for their retirements will be needed and he believes life settlements could become an exceptional option for meeting their requirements.
For more advice the perfect Life Insurance vehicle for your senior clients
Click here for a consultation.
John Mitchell CPA spoke at a session aimed at clarifying marketing approaches when dealing with seniors and those approaching retirement. Mitchell emphasized the importance of educating clients on all their options, including life settlements. He warned against the dangers of hype and obfuscation and encouraged “straight talk” in all dealings with clients.
In conclusion, LISA’s CEO Darwin M. Bayston noted the importance of retirees coming to see their life insurance policy as an asset that can be used to generate cash they can live on. If trends continue, he believes “the life settlement industry will continue to enjoy steady growth as an alternative to lapsing or surrendering a life insurance policy.”
For more information, please read:
Life Settlements Represent Potential Source of Needed Retirement Income for Seniors, According to Speakers at LISA Conference | BusinessWire