If you do not need or cannot afford your life insurance policy, you can now sell your life insurance policy for cash to pay for assisted living. It is not uncommon for an elderly couple to both require elder care at the same time. Recently, a married couple converted their life insurance policies into Medicaid life settlement plans to pay for assisted living.
The wife was her husband’s primary care provider and unfortunately suffered a stroke of her own. Because she was no longer able to provide home care to her husband and was also no longer able to care for herself; their need for assisted living care outweighed their need for life insurance.
The couples son learned that you can sell your life insurance policy for cash to pay for assisted living from the assisted living community they were considering. He did not realize that life insurance policies could be converted to fund the cost of assisted living and in the form of monthly payments directly to the facility. Both the husband and wife owned an individual life insurance policy, which they fully intended to abandon.
Both life insurance policies were valued at the same time as two individual long term care benefit plans. The husband owned a Universal Life Insurance policy with a face amount of ninety thousand dollars and the wife owned a life insurance policy with a face amount of twenty thousand dollars. Within six weeks both cases were valued and approved. The husband qualified for a long term care benefit with a total amount of Thirty One Thousand, Five Hundred Dollars. When converted, the husbands life insurance policy generated Eighteen Hundred Dollars a month for the benefit period and reserved a final expense benefit of Forty Five Hundred Dollars.
The wife qualified for a Nine Thousand dollar Medicaid life settlement plan which paid out over Five Hundred Dollars each month and reserved a One Thousand Dollar death benefit.
**Case study on file