The LifeBid© Process and Life Settlements

The life settlement market has been developing during the past five years into a secondary insurance market because of the participation of major funding sources, such as international banks, Wall Street firms, and hedge funds. This has provided a valuable service to policyholders as another source to surrendering their policy.

“The value of a life insurance policy at any given time is simply the present value of future death benefits less the present value of the future premiums as of that time. These present values should be calculated based on appropriate interest rates and mortality rates. The appropriate mortality rates in a life settlement pricing calculation, of course, should be determined through an underwriting process applied to the individual whose policy is being sold. An interest rate appropriate to the needs of the buyer would be used.” (1)

The LifeBid© process will evaluate a consumer’s life insurance contract and disclose a range of values. With this range of values, the policy will be submitted to various buyers of insurance contracts. The data collection, LE (Life Expectancy) and medical studies are done by the LifeBid© team. The package is then submitted to buyers and the consumer is assisted through the selling process.

The article “The Life Settlement Market Is An Opportunity” by Kiri Parankirinathan and Tom Bakos, from the summer 2006 edition of The Journal of Structured Finance, explains the opportunities in this marketplace.

(1): “The Life Settlement Market Is An Opportunity” from The Journal of Structured Finance.

› Download article "The Life Settlement Market is an Opportunity" that details how the Life Settlement Market ought to be operated as a business.

› Download Mr. Parankirinathan's Patent Application Abstract

› Download Broker/Client Selling Agreements for LifeBid.

Jim Griffin
TheUSBroker
phone: 1-877-341-3342 (toll-free)
fax: 1-315-655-4784
jgriffin@theusbroker.com

For Agent Use Only, Not for General Public