Understanding Your Payout Options

When it comes to selling your life insurance policy, it’s important to weigh your options for how you want to receive compensation for your policy. After all, you’ve paid premiums for a while, and recouping some of those expenses is likely an important part of the reason you considered selling your policy in the first place. Our licensed affiliate, Life Equity, offers several options to choose from, such as cash, coverage with no future premiums, cash for life, or a combination of all of these.

1

Lump-Sum Cash Payment A lump-sum cash payment is exactly what it sounds like—a single, lump-sum of money paid directly to the policyowner. In most lump-sum cash settlements, the funds are placed in an escrow account once a purchase agreement has been signed. Once the transfer of ownership is complete and verified with the life insurance carrier, the funds are released to your bank account.

2

Continued Coverage with No Future Premiums A Retained Death Benefit (RDB) enables policyowners to sell a portion of their existing policy while retaining some coverage with no future premium obligations. This is a great option for policyowners who would like to keep some coverage to provide for their loved ones or meet financial needs, but no longer wish to pay for coverage.

3

Cash for Life In some instances, you can elect to receive an annuity in lieu of an immediate cash payment. This enables you to receive cash for life in the form of periodic disbursements. This is a great option for those who wish to sell their life insurance but don’t necessarily need the cash today and would prefer to receive the benefits of a lifetime annuity.

4

Combination Payout If you’re unsure which option you prefer, or you’d like to combine payout options, a Combination Payout may be right for you. This option enables you to combine multiple payout methods to best fit your short- and long-term financial goals.

The payout options available to you may be dependent on the size of the transaction. To get a better understanding of your individual options, submit your policy for review today.

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How Can I Use the Money from Selling My Life Insurance?

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Your life insurance policy is an asset that can be sold, just like your home, automobile, or other personal property. As such, you can use the money you receive from selling your policy however you want. Policyowners who have contacted Ovid to sell their policy have used their payouts in a myriad of ways, from spending on necessities to taking the trip of a lifetime. Just imagine how you could use your money!

Pay off debt, fund medical care, or invest.

A sudden cash injection can help pay down your debt, fund medical care for you or a loved one, or take advantage of an investment opportunity.

Take the trip you’ve been dreaming of.

Many people use their settlement to fund a dream vacation or to make memories with their family while they still can.

Help your family now rather than later.

With a life settlement, you can help your family now while you’re around to share in the enjoyment that cash can bring those you love most.

Anything else you can dream of!

There are no restrictions to how you use the money you receive from selling your life insurance. Let your imagination run wild!

Here’s What People Are Saying.

Best customer service I have experienced in years!

Tammy, June 2024

When my only option was to walk away from a term life insurance policy or sell, I chose the latter … Ovid is the one you need to call.

Suzanne, May 2024

Working with Ovid…was wonderful. We [are] completely satisfied with our results and the support given by Ovid.

Robin, September 2023