SETTLEMENT
MARKET
The life settlement market, which allows policyholders to sell their existing life insurance policies for cash, has experienced significant growth and maturation in recent years.
MATURE MARKET
Vast Supply
Regulated and mature market with vast supply potential
Market practices and knowledge have significantly improved over the past 20 years. 45 states now regulate life settlements.​
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21% of the US population will be aged over 65 years old by 2030 (1).
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57% of individuals aged 65 and older own life insurance (2).​
38 million life insurance policies owned by seniors aged 65+ with total face value of $3 trillion (3).​
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Nearly 50% of policy holders are unaware policies can be sold for cash (4).​
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92% of policies lapsed/surrendered prior to maturity (4).​​
$100 billion+ of life insurance is lapsed or surrendered each year by seniors over the age of 65 (3).​
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90% of seniors who have let a policy lapse would have considered selling if they had known a life settlement was a possibility (5).
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References:
1. Source: Life Insurance Settlement Association quoting Forbes - 2021
2. Source: LIMRA’s Insurance Barometer Study - 2022
3. Source: Life Insurance Settlement Association - 2023
4. Source: Life Insurance Settlement Association - 2021
5. Source: Life Insurance Settlement Association - 2022
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