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Proceeds

$10 million life insurance policy on a male, age 80, who elects to sell his policy in two years, should generate a distribution of approximately $530,000 to him, his family or his preferred charity.

Life Settlement Sale in 2 Years
Projected Net Sales Value $1,482,000
End Year-2 Total Premiums & Interest ($952,000)

Distribution to Insured $530,000

Death of Insured within 2 Year Period
Face Value of Policy $10,000,000
End Year-2 Total Premiums & Interest ($952,000)
Face Value after Total Premiums & Interest $9,048,000

Net Proceeds to Insured $9,048,000


 


 

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