How To Sell Your Life Insurance Policy For Cash Lump Sum

Many people sell life insurance policy when they reach retirement age or when their all their accounts have paid off. Selling has several advantages over keeping the policy - it gets rid of premium payments, conforms to the needs of your dependents, and gives you access to a large sum of cash that would take weeks to get through a bank loan. But there are important things to know if you're planning to cash in.

For instance, not all policy holders are qualified to sell life insurance policies. In most cases, life settlements are exclusive to people over 65 who are expected to live the next 20 years or so. There's usually also a minimum value, which may range from $100,000 to $250,000.

There are also doubts on the security of insurance policy selling. As with other settlements, there is always a risk of investment and insurance fraud. That is why it's important to know how a settlement works, and what to watch out for when you sell life insurance policy.

People sell life insurance policies to a third party, which is usually an investment company. The buyer determines the purchase value of the policy based on two main factors: its face value, and the health of the policy holder. This is because a healthy policyholder likely to live for a long time can generate more profit for the buyer.

Investors pay only a percentage of the policy's face value to compensate for the risk they will assume when they buy the policy. They will pay all the future premiums and get all of the death benefits after the holder dies. After you sell life insurance policy, the company might check on you from time to time, or assign a lawyer or some other third party to stay in touch with you.

There is another type of settlement called a viatical. This applies to policy holders who are terminally ill, as opposed to life settlements where the holder's health has merely declined. They are worth more than life settlements because there is some certainty of the policyholder's time of death, which makes it less risky. You may be able to sell life insurance policy in a viatical sale for up to 80% of its value, while a simple life settlement might fetch you only 20%.

Life settlements also pose a few risks to the policyholder. If you make a life settlement and have existing health problems, you may not be able to get insurance coverage in the future. People who sell life insurance policies will also waive the insurance benefits of their beneficiaries. Most insurance companies recommend that you check all your options before selling.
Also take note of investment scams commonly practiced by unlicensed investment companies. If you're not using a broker, get rates from a number of firms before you sell life insurance policy. Two of the most common scams are the following:

"Cleansheeting" - People may buy life insurance policies for the sole purpose of selling them to the investor. Often, the investor will tamper with the medical report to make you appear healthier on paper and make the policy more profitable.

"Wet paper" - Some investment companies urge older people to buy life policies, then sell it back to them after a few weeks.
Life settlements are a great way to benefit from your life insurance. Why pay premiums when you can use your money now? As long as you work with professionals, selling your life insurance policy can help you enjoy your investments while you still can.

Article Source: http://EzineArticles.com/568735

What Is a Viatical Settlement And When To Use It

Know About The Viatical Settlement

Life insurance Viatical Settlement

Many people who hold Life Insurance Policies may not have heard of the term Viatical Settlement and for that matter will not know what is a viatical settlement. How a viatical settlement comes to be of great value to you is this: Your life insurance policy can be sold by you to a third party. The owner of the policy can sell that policy for a percentage of the death benefit value, the buyer that has the responsibility to pay all future premiums and in return collects the full death benefit when the insured has passed away. This is a good option to pursue with people who have terminal illness and may be experiencing stiff financial problems.

One other benefit of a Viatical Settlement is that if you are a healthy policy holder and you are no longer interested in the policy and wants to opt out of paying those premiums.and wishes to get more cash other than the surrender value of that life insurance policy. In a life Insurance settlement, the insured is re-underwritten, and any offer made for the policy based on their current life expectancy. This can be more than the surrender value. There are however certain steps you should follow before you get all head over heels and decide to go sell you policy. Follow these simple guides listed below:

Gain as much knowledge and Information regarding Life Settlement

• The more familiar you are with this financial instrument, the better your choices and decisions will be when it comes on to getting the right value for your settlement. Speak with your insurance agent about settlements and of course the viatical settlement. Try and see if you can find out also about any financial laws that stands as it relates to insurance policies and settlements.

Seek Financial Advice

• Not many people have a financial adviser, but you can always seek the service of one who will look into your current and future financial state and give you sound advise as it relates to you financial needs.

Life Insurance Settlement

From my own experience and knowledge, sometimes we may have other sources of cash that we sometimes forget about or probably do not know that that instrument may have some sort of cash value. Selling your life insurance policy should always be your last option when it comes down to needing cash for any form of expenses. Look at all other avenues to see if you have any money hanging around before you go viatical settlement. You must also look at what selling for a viatical settlement means and what are the consequences of selling.

Your Financial Options

• Do you have any cash value in your insurance policy? If so, you  may use some of the cash value to offset your immediate needs and keeping your policy in force for sometime.
• Some life insurance policies have an accelerated death benefits provision. It pays you a substantial portion of your policy's death benefit.
• First know that the proceeds are subject to the claims of any creditors.
• Find out whether receipt of a cash settlement would cause you to drop any public assistance benefits like food stamps or Medicaid.(law)
• You are obligated to provide certain medical and personal information.

Settlement Tips

• Find out as much as possible about how the process works from start to finish and time periods.
• If you choose to go through a settlement broker, you need to do comparison shopping. Remember that all brokers charge different rates and some are much knowledgeable than others.
• Check all application forms for accuracy.
• Make a decision whether to sell your policy directly to a life or viatical settlement provider or go through a settlement broker who would do the comparison shopping for you.
• Also be sure that the giver agrees to put your settlement proceeds in escrow with a financial institution to make sure that your funds are safe during the transfer.
• Find out what are the consequences of deterring to viatical settlement. Meaning if you change your mind after the sale is complete.

Once you are satisfied with your financial transaction and everything is crystal clear to you and you have no other option but to sell your insurance policy then  go ahead and do so. Never sign off on any transactions which you have strong doubts or uncertainty about.

Dog Bite Structured Settlement

Dog Bites

There are many persons who have been viciously attacked, bitten and mauled by Dogs. Sometimes it is the carelessness of owners who sometimes have not properly secured their dogs or just cannot manage and command their dogs which leads to these attacks. Injury from a dog bite has result in many dog bite compensations. Thousands of people have solicited the services of Dog bite injury lawyers to act on their behalf.

Dog Bite Law

The Minnesota dog-bite statute says:
If a dog, without provocation, attacks or injures any person who is acting peaceably in any place where the person may lawfully be, the owner of the dog is liable in damages to the person so attacked or injured to the full amount of the injury sustained.”
The victim doesn't have to show that the dog owner did anything wrong. To win a lawsuit under this statute, an injured person must, however, prove four things:

1. The injured person was attacked or injured by a dog.
2. The person being sued (the defendant) is the owner of the dog.
3. The victim didn't provoke the dog to bite.
4. The victim was acting peaceably somewhere he or she had the right to be.

The law doesn't require that the dog bite someone, or even make physical contact. For example, if a dog runs at and frightens someone, causing him to injure himself, the statute applies. (Morris v. Weatherly, 488 N.W.2d 508 (Minn. App. 1992).) The dog must, however, take some action that’s directed at the injured person. For example, a woman who fell on an icy walk sued the owners of the dog that she said cut in front of her in its hurry to get inside. The court ruled that because the dog had not been focused on the injured woman (it had not bumped into her or frightened her), but had been simply trying to get into the garage, the statute did not apply. (Knake v. Hund, No. A10-278, Kandiyohi County, Minn. District Court, Aug. 10, 2010.)

Statutes That Cover Only Bites

Some statutes do only cover dog bites. Here's the Arizona statute:
24-521 Liability for dog bites 
The owner of a dog which bites a person when the person is in or on a public place or lawfully in or on a private place, including the property of the owner of the dog, is liable for damages suffered by the person bitten, regardless of the former viciousness of the dog or the owner's knowledge of its viciousness.
24-523 Provocation as defense 
Proof of provocation of the attack by the person injured shall be a defense to the action for damages.
To win under this statute, the injured person must prove three things:

1. The victim was bitten (other injuries aren't covered by the statute) by a dog.
2. The person being sued (the defendant) is the owner of the dog.
3. The victim was in a public place or lawfully on private property when bitten.

Th bottom line is that once you have been awarded money because of an injury caused by dog or dog bite. You may be given a dog bite structured settlement. this is no different than a regular structured settlement as all this is saying that instead of receiving a limps sum cash. You will receive increments of payments. Most times its monthly.

How To Get Quick Cash For Your Structured Settlement And Pay Your Debts

Get Cash Now!

It is never good to be involved in any sort of accident which may lead to physical or mental breakdown. Even though you will be awarded cash for your injuries. It would have been better if you were actually receiving these monies from inheritance or some matured policy. But the fact of the matter is that you have been awarded some lump some cash and which have been negotiated into payment of increments which is called structured settlement. How a structured settlement works is that your total cash payment is paid in increments over a specific time frame while your money grows little to no interest. Structured settlement has its benefits in the sense that it is IRS proof. hoooray! no taxes! that's right, you do not pay tax on your structured settlement income. structured settlement really drags out those payments and if you need cash now the only option is for you to sell your structured settlement to a reputable company that buys settlement in order to receive you cash for settlement.

There are some good companies which have had the expertise and sound qualifications and experience in structured settlement instruments. Selling your structured settlement is not fixed into selling all of your settlement at once. You can sell a portion of your settlement while still enjoying the monthly payments for the remaining years of your settlement. So as an example; suppose you were to receive structured payments for 20 years. You can negotiate with the company who is buying the settlement from you and sell them only half of that period while securing the other half. So in essence you could sell them 2, 5 or 10 years out of the twenty. The choice is up to you and the company which buys those settlement.

We are living in very tough times and many people who are in structured settlement payments have opt to selling part of their settlement to meet increasing financial needs that require a little bit more than just a few 200 or 300 dollars. Ensure that if you decide to sell your settlement it is your last option in funding your need and that you take time out to find the right attorney and settlement company who will try to be transparent in all aspects of your transaction.

So what are your steps in selling your settlement

• Decide how much of your settlement you are willing to sell
• Consult your lawyer about selling
• Find a reputable settlement company and start negotiations

Then as soon as all paper works are complete and have passed through the legal system. You will have lump some cash in hand.