Viatical Settlement in Times of Need
We do our best to make sure our loved ones are cared for after we’re gone, and life insurance policies offer us one way to do that. But coming face to face with a terminal diagnosis can shift the tides and make a living benefit a better option than your loved ones collecting a death benefit.
When you sell your policy through a viatical settlement, your beneficiaries will not receive the life insurance policy payout upon your passing. Rather, the third party to whom you sold the policy becomes the owner and collects the full face value. You do, however, receive a lump sum that exceeds the cash value while you are still living and you can use that money however you see fit.