subject: How To Select The Best Life Settlement Broker [print this page] A life settlement broker is an important part of the life settlement process. The choice to use a broker and which one to select can have a large impact on the sales price of a life insurance policy. Life settlement brokers have access to funding sources not available to the general public and are supposed to be experienced enough minimize delays in the transaction.
As the life settlement industry grew, so did the number of people and companies operating as life settlement brokers. With any new industry such as life settlements, the quality of professionals runs the gamut. Some are well trained life settlement brokers, while others act as occasional brokers when their main focus offers a cross selling opportunity. There are some important considerations to keep in mind when selecting a life settlement broker.
A life settlement broker should focus on life settlements and not sell other products. To be masters of their craft, life settlement brokers must concentrate on life settlements primarily. In addition, when dealing with full time life settlement brokers you can be assured that any conflict of interest relating to selling other products or services is removed.
It is very important that life settlement brokers work with a number of different potential buyers. By doing so, they ensure that a policy will receive maximum value and consideration during a sale. The more potential buyers, the more likely the seller will get the full market price in a life settlement. Unfortunately, some life settlement brokers only work with one or two buyers which limits the potential for a senior's policy.
Licensing as a life settlement broker is of the utmost importance. Almost all states now have laws requiring life settlement brokers to be licensed and regulated. By using a licensed life settlement broker, the policy seller can be comfortable that their representative has met some minimum requirements related to compliance, training and education.
Entering into a life settlement to sell your insurance policy is an important decision. Selecting a good life settlement broker is a huge aspect of that decision. They are obligated as fiduciaries and you must believe that your chosen representative can represent your best interests.
