Life insurance is a type of insurance policy that individuals have that pay named beneficiaries after the policyholder dies. During the policyholder’s lifetime, they pay monthly premiums to the insurance provider. Oftentimes, these monthly premiums increase as the policyholder ages.
At a certain point, these policies may become too expensive for the policyholder to pay. They policyholder may feel they can either continue to pay the premiums or let the policy go. If the individual lets the policy go, they lose all of the money that they’ve paid into the policy over the years because the beneficiaries do not receive a payout after death.
Options for using your life insurance policy
Certain life insurance policies allow policyholders to use these funds while they are still living. While the death benefit payout decreases or is used up completely, the policyholder can use the money to pay for expenses while they’re living, such as those associated with senior care.
When an individual sells their policy to a settlement company, the person can receive a lump sum payment. It’s important to note that the settlement company takes on all future premium payments. In exchange for paying the policyholder and paying future premium payments, the settlement company then becomes the policy’s beneficiary and receives the death benefit payout when the individual passes away. This type of settlement allows policyholders to take advantage of the life insurance policy they paid into for years, all while they are still living.
How does ElderLife Financial Services help you use life insurance for senior care?
ElderLife Financial Services helps older adults obtain life settlements for their life insurance policies to pay for senior care expenses. It allows policyholders to understand their policy, estimate the total funds they can receive, and gets the money for them.
The life settlement process with ElderLife Financial Services
A life insurance policyholder may realize that their premiums are becoming too expensive to afford, and they also need to pay for senior care. Policyholders can work with ElderLife Financial Services to learn how to use their policy to pay for senior care in just a few steps.
- Policyholder contacts ElderLife Financial Services or uses the free, online estimator tool to learn how much money they may be able to get for their policy.
- ElderLife Financial Services provides a free estimate of what the individual’s policy can pay out.
- ElderLife Financial Services’ settlement partner buys the policy from the individual, providing the policyholder with a lump sum life settlement.
- The individual can use these funds to pay for senior care expenses.
Paying for senior living expenses can be costly, but using life insurance that you’ve paid for many years can help. The process of accessing life insurance policy funds is simple and clear when working with ElderLife Financial Services. Contact ElderLife Financial Services to learn how you or a family member can use your insurance policy to pay for senior care.
