Term Converted to Universal
The insured owned a successful medium-sized import-export company, which he recently sold for less than anticipated due to the recession. At age 40 he had taken out three term policies, worth $3 million each, face value. Then, three years ago, with the terms expiring and his two sons grown, he converted each policy to a guaranteed universal life policy.
Unfortunately, and not long ago, his 71-year-old wife was diagnosed with rapidly advancing Alzheimer’s disease. Faced with the prospect of eventually needing long-term care for her, and with a minimal cash value on his policies and no surrender value because of the recent conversion, as well as the need to reconstitute his funds never replenished after paying off substantial business debt pre-sale, he and his financial advisor decided that the best course of action would be to initiate a life-settlement through The Lifeline Program®.