Choosing to take a viatical settlement can be a challenging and emotional decision. When you or a loved one is diagnosed with a terminal illness, the last thing you want to think about is taxes. However, it’s important to understand the tax implications when using a...
What is a life insurance long-term care rider? A long-term care rider is a living benefit, a supplemental addition to your life insurance policy that provides financial protection by allowing you to access part of your life insurance policy’s death benefit on a...
A chronic illness rider, also called a critical illness rider, allows you to access your life insurance policy’s death benefit while you’re still alive provided you meet the criteria of having a critical health issue or chronic illness. Critical health issues include...
This may seem counter-intuitive, but a well-thought-out and comprehensive end-of-life plan isn’t so much for you as it is for your loved ones. No matter how many times you share with them your end of life wishes, as the time grows near, emotions come into play. A good...
In recent years, it’s become popular for individuals to sell their life insurance policy for a lump sum, referred to as a life settlement. Oftentimes, the terms life settlement and reverse life insurance are used interchangeably however, it’s important to know that...
A life insurance buyout is a way for you as a policy holder to legally sell your life insurance policy to a third party. This buyout is called a settlement, and it allows you to sell your life insurance policy for a one-time, lump sum payment. In exchange, the buyer...
No matter who your insurance company may be—Metlife, American Income, Primerica, Americo, Unum, Lincoln Financial, Cigna, the list goes on—life insurance payouts work in much the same way. What does make a difference, however, is the type of life insurance you...
An Accelerated Death Benefit is a provision in nearly all life insurance policies. It allows a policyholder with a terminal illness, usually with a life expectancy between six months and two years, to access a portion of the death benefit early to be used while they...
Surrendering is the official term for canceling your whole life insurance policy. Unlike term life insurance, which has no cash value aside from the death benefit, whole life, or permanent life insurance, builds a cash value component over time. That makes the...
Viatical settlements: A definition A viatical settlement is a way for those who are suffering from a terminal illness to sell their life insurance policy to a third party for a one-time lump sum. The payout is far more than the cash surrender value. This one time...
Whatever your reasons—maybe you can no longer afford the premiums, or maybe you need a large amount of money immediately—as a life insurance policy holder, you are legally allowed to sell your policy to a third party for a one time cash payment, which is called a life...
There are a variety of reasons why you may choose to cancel your life insurance policy. You may no longer be able to afford the premium payments, or maybe you’ve managed to pay off your debt. Perhaps you no longer have dependents. In any event, canceling, or...
