Turn your life insurance policy into tax-free cash and pay for private caregivers, in-home care, or family support.

Private caregivers provide in-home care, assist with daily living, and reduce the pressure on family members managing complex health situations. A home health aide costs between $27 to $30 per hour—often exceeding $6,000 monthly. Most families pay through private pay, using savings or limited coverage from health insurance, Medicaid services, or community based services.

A life insurance policy can be converted into immediate, tax-free cash through a viatical settlement. The cash value becomes available without waiting, and can cover in-home caregivers, home services, or support from an adult child or partner taking an absence from work. Unlike long term care insurance or other financial assistance, there are no restrictions on how the money is used.

Families use this strategy to fund personal care services, pay for home upgrades, or bring consistent help into a living facility. If the policy is a permanent life insurance policy, whole life insurance policy, FEGLI, term life or group insurance policy, there is a cash surrender value—unlocking more choices for you.

Get a free policy review from American Life Fund and see how much tax-free cash you can access—start funding your care, your way.

The Real Cost of In-Home Care

Hiring in-home caregivers for daily living support, personal care services, or skilled services adds up quickly. According to Genworth’s Cost of Care Survey, the national average for a full-time home health aide exceeds $6,000 per month, depending on location and care intensity.

At $28 per hour for a 40-hour week, that’s $1,120 weekly. Add overnight care, weekends, or specialized needs, and monthly costs can climb far higher.

Health insurance covers limited services. Medicaid services may help, but eligibility requirements, asset limits, and long waitlists make consistent care hard to secure. Services covered under state Medicaid programs vary widely and don’t always include nonmedical home care services or private in-home caregivers.

Most families rely on private pay. They draw from savings, tap employee benefits, or consult a financial advisor to manage long term care services. Some use a family member’s policy as a tool—not by surrendering it to the insurance company, but by converting it into real cash value.

The Flexible Option—Use Your Life Insurance to Fund Care

A life insurance policy can do more than support future beneficiaries. Through a viatical settlement, it can become immediate, tax-free cash. American Life Fund provides this option for individuals living with serious illness, allowing them to access the value of their permanent life insurance policy, whole life insurance policy, or term life insurance now instead of later.. 

Funds from a viatical settlement can be used without restrictions. Families can pay for home health aides, in-home caregivers, personal care services, or even hire a family member as a caregiver. Unlike other financial assistance, there are no eligibility requirements about how the money is spent. It’s private funds, and it’s yours to use where it matters most.

Some choose to modify a living facility. Others support family members providing daily care. Funds can also go toward nonmedical home care services or supplement care in an assisted living facility. There are no limits—only options.

Viatical settlements offer significantly more flexibility than the policy’s cash surrender value. Rather than surrendering the policy back to the insurance company, individuals receive a large lump sum cash payment. 

American Life Fund streamlines the entire process. Once qualified, funds are delivered quickly—no waiting, no uncertainty.

Who Qualifies for a Viatical Settlement?

To qualify for a viatical settlement through American Life Fund, the policyholder must meet three core criteria:

• Health Condition: Must be living with a serious illness such as Cancer, ALS, or Alzheimer’s. 
• Policy Age: The life insurance policy must be at least two years old.
• Policy Value: The policy should have a face value of $200,000 or more.

Most types of life insurance qualify, including whole life, term life, universal life, group, FEGLI, and joint life insurance policies. Eligibility is straightforward and handled quickly. If the above criteria match your current situation, you may already qualify.

See if your policy qualifies today. American Life Fund can provide a confidential, no-obligation estimate.

Where Other Financial Assistance Falls Short

Not all financial options give you control. Medicaid eligibility requirements vary by state and often exclude individuals who’ve built even modest savings. Covered services are typically limited to basic needs, and nonmedical services like homemaker support or a paid caregiver are rarely included.

Veterans benefits and Veterans Affairs programs do provide some health care and assistance for qualifying individuals. But support is not guaranteed, and many services—like full-time in home care—are unavailable or capped at a few hours a week. Families often wait months for evaluations and approvals.

Even employers that offer paid family leave only extend benefits for short-term absences. These policies rarely accommodate the extended care needed when someone requires daily medical services or help with essential tasks.

Some families turn to their insurance provider or life settlement companies to explore other ways to fund care. A life insurance conversion is one option, where a policy’s premium payments can be redirected into a long term care benefit. These programs, however, may restrict usage or impose strict timelines and limits on eligible care costs.

A nursing home is often presented as the default solution when in-home care can’t be covered. Yet many families want to avoid institutional settings and instead cover home care privately—with choice and continuity. This becomes even more important when supporting surviving spouses or managing shared family obligations.

By contrast, a viatical settlement allows the market value of a qualifying life insurance policy to be used now—with no limitations on how, when, or where it’s spent. It’s a solution that aligns with real needs. 

Care is a Decision. So Is How to Pay for It.

Care should match the priorities of the person receiving it—not a list of pre-approved options. Choosing where, how, and by whom that care is delivered is personal. That decision belongs to the individual.

Access to funding through a viatical settlement creates the ability to choose. When the money comes from the policy already owned, the control stays with the person who made the original investment. A viatical settlement moves that control forward. It takes the value built through premiums paid, calculates it based on life expectancy, and returns it as a cash advance.

Whether that means using that large lump sum to pay for registered nurses, all inclusive care, or a paid caregiver providing continuity at home, the care plan stays personal. It doesn’t need approval from government programs and it doesn’t require adapting to a monthly benefit structure. Use your life insurance policy to fund care on your terms.