Disciplined, Transparent Process
PROFESSIONAL, EFFICIENT, COLLABORATIVE, AND COMPLETELY TRANSPARENT.
Simple, understandable, straight forward.
We understand that as a wealth advisor or life insurance professional looking out for the best interests of your client and assessing the potential utility of a life settlement, while maximum bids and net proceeds are obviously of the greatest significance, a broader description of the value proposition of the transaction is important to consider. We deliver that.
We enable the price discovery benefits of real competition among multiple credible buyers. Importantly, you are intimately engaged in the process – with end-to-end transparency and an audit trail – and understood by your client to have been the driver of a high-value service win and significant windfall from an asset that would otherwise have been forfeited for little or no benefit.
All executed in a secure ShareFile bid room, not via e-mail and phone calls.
20+ buyers reached through 10 regulated intermediaries
80% of auctions successful
15/60 days to actionable bids & closing/funding
Benefits of our Process
Faster to start, knowledge that a winning bid has been submitted, and funding, more transparent, and far more effective
01
Fast Policy Assessment
With the necessary in-force illustration, we can get you, within a day or two, a range of likely values that we expect the market would yield for the policy, at a range of prevailing discount rates and health impairment levels.
02
Comprehensive Market Coverage
We engage 10+ Providers that access the universe of institutional buyers of in-force life insurance to ensure comprehensive price discovery. We only engage those with established track records with reliable sources of capital, never fringe or unreliable buyers.
03
Fastest Staging
Because we do not require a contract with the seller beyond an agreement that we will receive our fee, we have the owner retrieve insured medical records, and we do not get 3rd party life expectancy reports, we are able to present the case to buyers within days.
04
Fastest Bidding/Auction
We give the Providers and buyers two weeks to review the relevant documents and ask clarifying questions or for additional information, after which we have a three-day auction, so, your clients know whether they have a bid that they wish to accept in less than 15 days.
05
Fastest to Funding
It is typically 60 - 75 days from the day that we take the case to market to the day that the policy is transferred to the new owner and your client receives their proceeds. There are instances when it can take 15 - 20 days longer, but that is rare (never near the broker 130+ days).
06
Highest Winning Bids
Our blind, best-and-final bidding, which ensures that each bidder bids to their true "private value," not capped by the knowledge of other bids, produces reliably and significantly higher winning bids than any other approach available to sellers.
WE ARE LOATHE TO WASTE YOUR TIME OR ENERGY
Rigorous, efficient, and expedient.
Our process is respectful of your and your client's time, effort, and, honestly, intelligence.
A simple, expeditious means to create competition among institutional buyers of in-force life insurance for your client's policy. If you are at all familiar with the incumbent channel, you will see how much less time we require to prepare for auction and the bidding process, which we complete in days, not months. If you and your client are responsive throughout the process to document and information requests, we typically complete transactions in 60 - 75 days.
Calendar: 1 day/<1 hour advisor time
While the market is the final arbiter of value, with a recent in-force illustration (level minimum premiums to age maturity/100+), we can provide a qualified range of values under various health and discount rate assumptions to inform a discussion between you and your client about the likely utility of pursuing a sale.
Calendar: 5 days/4 hours advisor time
You simply upload to our ShareFile bid room a copy of the policy, a signed HIPAA release form, two years of medical records (the more impaired an insured is, the more comprehensive the medical records that we'll need), the premium history (if a guaranteed product), and a copy of the Trust (if Trust-owned).
Calendar: 10 days/0 hours advisor time
The Providers that represent the major and reliable institutional capital review all submitted policy, ownership, and medical documents, and pose any clarifying questions or request additional documents (e.g., other illustrations, medical specialist) to you and your client to refine their assessment of policy value.
Calendar: 3 - 5 days/0 hours advisor time
Providers have 3 - 5 business days to submit a best and final bid and to detail any contingencies that will impact the amount of time and effort that you (the advisor) and your client will likely have to commit. If multiple bidders are within 5% of one another, we have a one-day run-off for bidders to refine their bid. This happens about 10% of our auctions.
Calendar: 15 - 30 days/3 - 5 hours advisor time
The winning Provider generates a purchase agreement, collects a small number of additional documents (e.g., photo of driver's license and social security card), signatures and attestations, and confirms that the policy remains in force. In those instances that our affiliated broker is involved, the seller also completes our "application," a statutory document, but only after you and your client have received a bid that is worthy of your time and effort.
Calendar: 5 - 10 days/0 hours advisor time
The buyer funds escrow, submits a change of ownership request with the carrier, and places the policy with a Securities Intermediary that holds the policy and escrow until the carrier transfers ownership, at which time funds are disbursed. The carrier is statutorily obligated to transfer ownership in <30 days, but typically executes in 5 - 10 days, and our fee is remitted.
WE ARE LOATHE TO WASTE YOUR TIME OR ENERGY
Rigorous, efficient, and expedient.
Our process is respectful of your and your client's time, effort, and, honestly, intelligence.
A simple, expeditious means to create competition among institutional buyers of in-force life insurance for your client's policy. If you are at all familiar with the incumbent channel, you will see how much less time we require to prepare for auction and the bidding process, which we complete in days, not months. If you and your client are responsive throughout the process to document and information requests, we typically complete transactions in 60 - 75 days.
01
Policy Review
Calendar: 1 day/<1 hour advisor time
While the market is the final arbiter of value, with a recent in-force illustration (level minimum premiums to age maturity/100+), we can provide a qualified range of values under various health and discount rate assumptions to inform a discussion between you and your client about the likely utility of pursuing a sale.
02
Staging
Calendar: 5 days/4 hours advisor time
You simply upload to our ShareFile bid room a copy of the policy, a signed HIPAA release form, two years of medical records (the more impaired an insured is, the more comprehensive the medical records that we'll need), the premium history (if a guaranteed product), and a copy of the Trust (if Trust-owned).
03
Case Review & Analysis
Calendar: 10 days/0 hours advisor time
The Providers that represent the major and reliable institutional capital review all submitted policy, ownership, and medical documents, and pose any clarifying questions or request additional documents (e.g., other illustrations, medical specialist) to you and your client to refine their assessment of policy value.
04
Bidding
Calendar: 3 days/0 hours advisor time
Providers have three business days to submit a best and final bid and any contingencies that will impact the amount of time and effort that you and your client will likely have to commit. If multiple bidders are within 5% of one another, we have a one-day run-off for them to refine their bid (without knowing the rank of their bid).
05
Contracting
Calendar: 15-30 days /3 - 5 hours advisor time
The winning Provider generates a purchase agreement, collects a small number of additional documents (e.g., photo of driver's license and social security card), signatures and attestations, and confirms that the policy remains in force. When our affiliated broker is involved, the seller also completes our "application," a statutory document.
06
Transfer and Fund
Calendar: 5 - 10 days/0 hours advisor time
The buyer funds escrow, submits a change of ownership request to the carrier, and places the policy with a Securities Intermediary that holds the policy and escrow until the carrier transfers ownership, typically within 5 - 10 business days, at which time funds are disbursed and we submit our invoice.
