Simplified Issue: Expanding the Market with a Faster, Easier Settlement Process

Over the past ten years, the secondary market for life insurance has delivered billions of dollars over cash surrender value to policyowners.  But as the market continues to grow, leading providers are creating new opportunities to increase access for a wider range of potential candidates.

One such innovation is called Simplified Issue, which features a streamlined underwriting process that greatly increases the efficiency of each case.  Not only does this significantly shorten the life cycle of the case to less than 30 days, but it also enables providers to accept cases with smaller face amounts.  This quick turnaround, combined with the added value of a life settlement, can be a compelling solution for consumers with policies under $1million in face value.
 
The general profile for Simplified Issue is an insured aged 65-90 with a policy of $100,000 or more.  In general, cases involving policies under $500,000 are automatically eligible for the streamlined process, and selected cases between $500,000 and $1 million may also qualify. 

Simplified Issues account for an exciting business opportunity. The number of qualifying policies is significant, which more than compensates for the fact that individual cases may be smaller. It is yet another example of how a growing secondary for life insurance is bringing more value to both consumers and the advisors who serve them.