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ARTICLES FOUND: 29

The Changing Role of a Life Insurance Policy
From Financial Security to Personal Asset
Posted: April 18, 2022 by John Welcom
Most seniors who own a life insurance policy did so years ago to provide financial security for their families. However, as children grow older, their need for such protection and the desire to continue paying premiums changes. The life insurance po...

1 in 4 Boomers Say Medical Debt Prevents Retirement Savings
Posted: March 28, 2022 by John Welcom
The only way for seniors to properly deal with medical debt without simply transferring it to their high-interest credit card — or ignoring it entirely — is to produce income flow from previously untapped sources. One of those assets, such as a life insurance policy, could turn out to be a previously unknown source of money.

2020 Recession Taught a Painful Lesson About Financial Priorities
Posted: March 16, 2022 by John Welcom
Many seniors are aware that they can take out a reverse mortgage on their house to generate a line of credit but few are aware that an unneeded or undesired life insurance policy can be turned into cash through a life settlement transaction. Because...

Time for a Year-End Retirement Funding Review
Posted: December 27, 2021 by John Welcom
As people enter their retirement years, they tend to think that the albatross of “financial planning” can finally be removed. They have worked hard their entire lives, saved a little money along the way, sought out the professional guidance of a financial advisor, and hoped they could stash away enough money to enjoy their golden...

Improvement In Life Expectancy Underwriting
Posted: November 30, 2021 by John Welcom
Life insurance is one of the oldest financial products in the Western Hemisphere. Since the first life insurance policies were offered in the early-1700s, there is one overriding factor that determines cost to the consumer: the projected life expectancy of the insured.

5 Questions About Life Insurance to Ask High Net Worth Clients
Posted: November 17, 2021 by John Welcom
Financial advisors to high net worth clients are becoming more familiar with the life settlement option — helping sell a life insurance policy to an investor for a cash payment as an alternative to maintaining, lapsing, or surrendering a life insur...

How to Sell Your Life Insurance Policy for $81,005 Instead of $43,000!
Posted: November 09, 2021 by John Welcom
After seeing an ad from a direct buyer on TV, Dave was surprised to learn that his life insurance policy could be sold for a cash payment. Dave contacted the direct buyer who offered him $43,000. Before proceeding with that offer, Dave contacted hi...

Life Settlement Broker Licensing: Among Most Demanding in Financial Services Industry
Posted: October 29, 2021 by John Welcom
A financial advisor working with a retired client will routinely review his assets and liabilities to help him achieve his personal goals. Such goals include generating cash flow for retirement funding, supporting charitable giving interests, or le...

How to Sell Your Life Insurance Policy for $187,000 Instead of $0!
Posted: April 06, 2021 by John Welcom
A small business was filing for bankruptcy and its assets were being reviewed. The company’s financial advisor helped the partners identify the value, which they did not know existed, contained in its key man life insurance coverage.

How to Sell Your Life Insurance Policy for $64,800 Instead of $10,000!
Posted: March 03, 2021 by John Welcom
Ronald purchased a $300,000 Universal Life policy back in 1999 to provide his wife with financial security. Unfortunately, after 20+ years, Ronald could no longer afford the premium payments as his healthcare costs were mounting.

How to Sell Your Life Insurance Policy for $173,005 Instead of $0!
Posted: February 23, 2021 by John Welcom
After paying premiums on his life insurance policy for years, Larry’s liquidity needs and health changed significantly. Times were tough, so to maintain his savings, Larry decided it was best to lapse the coverage. Thankfully, Larry’s advisor con...

How to Sell Your Life Insurance Policy for $54,000 Instead of $20,000!
Posted: February 19, 2021 by John Welcom
Margie purchased a 20-year level, convertible Term life insurance policy at age 48 to provide her daughter with financial security. Twenty years later, the term premium was set to increase dramatically and Margie's family could not afford to maintai...

Consumer Frustration: No Carrier Disclosure of Alternatives to Lapsing or Surrendering a Policy
Posted: February 16, 2021 by John Welcom
Most financial advisors have experienced first-hand clients having negative perceptions of the life insurance industry. In fact, one survey from E&Y found that American consumers had less trust in U.S. insurance companies than all but one other major...

How to Sell Your Life Insurance Policy for $100,000 Instead of $30,000!
Posted: February 10, 2021 by John Welcom
Jerry purchased a $500,000 Universal Life policy seven years ago to provide his wife with “peace of mind.” Unfortunately, he could no longer afford the premium payments and contemplated letting the policy go. Jerry’s wife saw a TV commercial fr...

Embracing the New Era of “DIY” Retirement Funding
Posted: November 02, 2020 by John Welcom
In previous generations, it was common for a hard working citizen to secure a job at a stable company, be employed by the same organization for decades, and then retire one day with the proverbial gold watch and a nice pension to supplement monthly Social Security checks.

The Joy of Giving: Transferring Assets to Heirs
Posted: October 15, 2020 by John Welcom
A traditional way to leave a legacy is to establish an estate plan. It ensures that any remaining money upon passing away is left to predetermined, designated people (or causes), who in turn can enrich their own lives and potentially, the lives of others. However, many financial advisors help their clients experience the joy of g...

Life Settlement Transactions Increased by 11% in 2019 as Market Awareness Continues to Grow
Posted: October 01, 2020 by John Welcom
The U.S. life settlement market — in which seniors are able to sell existing life insurance policies that they no longer need or can afford to institutional investors as an alternative to lapsing or surrendering the policy back to the insurer — e...

“Cash Surrender Value” vs. “Fair Market Value”
When in Doubt, Get it Appraised
Posted: August 14, 2020 by John Welcom
Consumers who have purchased a “permanent” life insurance policy — such as whole life or universal life — are familiar with a distinctive number on their regular account statements from their insurance carrier. Unfortunately, many people are ...

Paying for Health Care Costs with Life Insurance
Posted: July 29, 2020 by John Welcom
A study released by the American Cancer Society in May 2019 found that the high cost of health care in the U.S. is causing financial hardship for more than half of all American adults. Based on data collected from the National Health Interview Survey, the study documented that 56% of adults reported at least one instance of financial...

Never Surrender! Convertible Term Life Insurance and the Secondary Market
Posted: July 15, 2020 by John Welcom
Many people subscribe to the adage of “buy term, invest the difference” when deciding what type of life insurance to buy for their family’s financial protection. It may be a smart strategy for some consumers, but only if they are informed abou...

The Danger of Trying to “Time the Market” for Life Settlements
Posted: July 01, 2020 by John Welcom
Most investors in the stock market understand the danger of “market timing” — trying to choose the right day to buy a stock when the price is low and sell it when the price is high.

Rebuttals to the “Direct Buyer” Model for Life Settlements
Posted: June 01, 2020 by John Welcom
Most professional advisors who explore the potential sale of an unwanted life insurance policy on behalf of their clients will rely on the assistance of a licensed life settlement broker. Life settlement brokers represent the policy owner in the tran...

The Power of a Life Settlement Auction
Posted: April 15, 2020 by John Welcom
Professional advisors with clients who no longer need or wish to maintain a life insurance policy have options when exploring the secondary market. Many advisors prudently rely on a licensed life settlement broker to assist them in the sale of the policy and with all aspects of the transaction. However, there is still a large num...

Understanding the Fair Market Value of a Life Insurance Policy
Posted: April 01, 2020 by John Welcom
When a professional advisor identifies a life insurance policy that a client no longer needs or wishes to maintain, he should ask, as standard protocol, whether that policy may have value in the secondary market. If so, the client may be able to sell...

How to Get the Highest Life Settlement Offer
Posted: March 16, 2020 by John Welcom
When you decide to sell a valuable personal asset, you usually want to obtain the highest purchase price for that property. It is sound business sense. However, how do you truly know when you have reached the point of accepting and securing the most desirable offer?

What is the Most Suitable Exit Strategy for Life Insurance?
Posted: March 02, 2020 by John Welcom
All eyes in the life insurance agency and the financial advisory world have been on New York, where in the summer of 2019, the New York State Supreme Court paved the way for implementation of Insurance Regulation 187. This rule imposes a new standard for agents and brokers when issuing a recommendation to a client regarding an annu...

Suitability of Life Settlements
Posted: February 14, 2020 by John Welcom
Traditionally, estate planning advisors counsel their high net worth clients to obtain life insurance policies with large death benefits. The strategy is simple: create a vehicle for heirs to receive tax-free income at the time of an insured’s passing so sufficient funds are available to pay large estate tax bills when assets are i...

Direct Life Settlement Buyers vs. Welcome Funds – Advisor Beware!
Posted: February 03, 2020 by John Welcom
Welcome Funds has the privilege of working with numerous financial advisors and wealth managers – and have done so for two decades – some who exclusively focus on servicing high net worth clients. One such advisor who is active in the life settle...

How to Sell Your Life Insurance Policy for $4,743,000 Instead of $275,485!
Posted: January 15, 2020 by John Welcom
Mr. Williams purchased $10 Million in life insurance coverage in 2001 to provide his family with financial security. Over time, his financial priorities changed: his wife passed away, his children became financially independent, financial burdens a...