Viatical settlements have strict eligibility requirements to keep both buyers and sellers safe. These include:
Do You Qualify For A Viatical Settlement?
Health impairments—Policyholders must have been recently diagnosed with either a terminal disease or a chronic medical condition. Typically, the life expectancy cannot exceed two years. Policyholders in good health may still qualify for a life settlement.
Value of the policy—Qualified policies have a minimum face amount of $100,000.00. In most cases, policies under $100K in face value are not eligible.
Policy in force for two years—Policyholders must own their life insurance policy for more than two years. Some states require policies be held for a five year period before qualifying for a settlement.
Policyholders that do not qualify for a viatical settlement may still be able to sell a life insurance policy using a life settlement. Use a viatical settlement calculator to determine whether you qualify for viatical settlements.
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