Turn your universal life insurance policy into a lump sum cash payment—with no broker fees and fast access through American Life Fund.

A universal life insurance policy holds more value than most people realize. You can sell it. You can access its cash value and you can do it now.

Through a viatical settlement, policyholders with a serious diagnosis can receive a large lump sum cash payment from the sale of their universal life insurance policy. That payout is based on the policy’s size, cash surrender value, and the insured’s life expectancy. Most often, it significantly exceeds what you’d receive from a cash surrender alone.

The process is fast and there are no broker fees. There’s no need to work through a third party company. At American Life Fund, we’ve helped people sell life insurance policies to cover medical expenses, eliminate premium obligations, and create immediate financial assistance in the form of cash—available in days, not months.

This is not theory, it’s the financial reality for policyholders facing rising health care costs, needing support to cover medical bills, or looking to withdraw money from a permanent life insurance policy they no longer want to maintain.

Contact American Life Fund to see if your life insurance policy qualifies for a viatical settlement—and what your policy could be worth today.

How Selling Your Life Insurance Policy Works

Selling your life insurance is a financial transaction with a clear process and a fast payout.

Here’s how it works: You sell your universal life insurance policy to a viatical settlement company like American Life Fund. In exchange, you receive a lump sum cash payment based on factors such as your policy’s face value, premiums, and your health status.

The steps are simple. First, you provide basic information about your insurance policy, including the policy information  and relevant medical records. That’s how we assess what the policy is worth. Next, after verifying this information, we will provide you with  an offer for your policy. If accepted, we prepare a purchase agreement that both parties sign.

You no longer have to pay premiums or keep up with the policy. And most importantly, you receive immediate cash to use however you choose. 

This is called a viatical settlement, and it applies not only to universal life insurance policies, but also to term life insurance, whole life, variable life, group life, and permanent insurance.

For those living with a life threatening illness, the ability to access cash in days—rather than years—offers meaningful relief. It’s often used to cover medical expenses, handle long-overdue medical bills, or simply replace income lost to illness.

Eligibility for a Viatical Settlement with a Universal Life Policy

To qualify for a viatical settlement through American Life Fund, your universal life insurance policy must meet three core requirements:

• The face value of the policy must be at least $200,000.
• The insurance policy must have been active for at least two years.
• The insured person must have a life threatening illness such as cancer, ALS, Alzheimer’s, COPD, or late-stage kidney disease.

These requirements apply whether the policy is group insurance, term life insurance, whole life, variable life, or a federal plan like FEGLI.

Read more about eligibility with the top viatical settlement company.

Here’s what that looks like in practice:

An individual with metastatic breast cancer holds a universal life insurance policy with a face value of $250,000. She no longer wants to pay premiums, and her family needs funds to cover medical expenses and manage household costs. After a review of her health condition and the policy, she receives an offer of $172,000. This entire amount is delivered as a lump sum cash payment within weeks.

In qualifying cases, payouts may reach up to 70% of the life insurance policy’s value. That’s more money than surrendering it, with no wait for a future claim and no ongoing premium payments.

Each case is reviewed by our in-house experts—not a third party company—who understand the urgency and complexity of these decisions.

Get your free policy value review with American Life Fund today. . No obligations. Just real numbers.

Why Surrendering or Letting a Policy Lapse Often Falls Short

A life insurance policy builds value over time. Yet when someone surrenders that policy, they receive only a fraction of what it’s worth. That payout—the cash surrender value—is calculated by the insurance company, not based on the face value, but on accumulated interest minus fees. It’s a formula designed to minimize what the policyholder walks away with.

In many cases, the policy’s cash surrender amount is under 10% of its total value. If premiums were front-loaded or loans were taken against the policy, it may be even less.

Letting a policy lapse is worse. Once premium payments stop and the grace period ends, the policy cancels. The insurance company owes nothing. Decades of contributions can disappear overnight.

These outcomes are common among policyholders who can no longer afford to keep their permanent insurance active during times of medical crisis. They’re not the result of poor planning—but of limited options being presented at a vulnerable moment.

The ability to exchange a policy for a lump sum cash payment through a viatical settlement changes that dynamic. It provides a release valve. The payout is higher. The process is faster. And instead of walking away with a fraction, you retain the right to access cash based on the full strength of the life insurance policy.

Use the Funds However You Need—Without Restrictions, Delays, or Taxes

Most forms of financial assistance come with rules. Government grants, benefit programs, even crowdfunding campaigns often dictate how and when funds can be spent. A viatical settlement doesn’t. The cash is yours, immediately and unconditionally.

There are no restrictions on usage. Many clients use their lump sum cash payment to pay off medical bills, bring in private nursing care, help family manage daily expenses, or restructure finances to avoid liquidating retirement savings. The choice is personal—and it stays that way.

There’s also the tax advantage. In most qualifying cases, viatical settlement payouts are tax free. Unlike early withdrawals from retirement accounts or taxable benefits from other sources, the proceeds from selling your life insurance policy are not considered income. Still, consulting a tax professional is wise, especially when navigating specific circumstances or potential tax implications tied to large cash infusions.

There’s no broker markup. When you work directly with American Life Fund, you avoid life settlement broker fees and delays that come from using multiple providers or a third party company. That means fewer forms, fewer people involved, and a faster payout.

We review all major life insurance types—universal life, variable life, term life, group life, and permanent insurance—as long as the policy meets basic eligibility requirements and the holder can no longer afford to maintain it.

A viatical settlement is not partial relief. It is full liquidity, made available in a single transaction, so you can take care of what matters without compromise.

A Smarter Way to Access the Value in Your Policy

A viatical settlement gives you control at a time when so much feels out of your hands. It transforms a life insurance policy into a financial asset that works now—not later. And it works fast.

The life settlement process is straightforward with American Life Fund. There are no applications through public agencies, no income thresholds to meet, and no restrictions on how the funds are used. Once you qualify, the entire transaction is handled quickly, privately, and with expert guidance every step of the way.

What you receive from a viatical settlement depends on several factors—your policy’s face value, the  insured’s health, and the policy’s premiums. But for many, the payout is life-changing. Whether you use it to pay off medical expenses or  support your family, the money is yours. And that flexibility is why life settlements work when other options fall short.

Contact American Life Fund today to find out what your universal life insurance policy could be worth.

Call us at (877) 261-0632
Email: info@americanlifefund.com
Or start your free review here!.

Your policy may hold more value than you’ve been told. We’ll help you access it.

How does a viatical settlement fit into my overall financial plan?

A viatical settlement serves as a practical alternative to drawing from retirement accounts or other taxed assets. While a financial advisor may help assess the broader picture, our team at American Life Fund will explain how a settlement aligns with your needs—considering your health status, existing retirement income, and financial goals.

How is the payout calculated, and does it include the policy’s death benefit?

The offer is based on the insured’s health, the type of policy, and its premiums. The payout does not equal the policy’s death benefit, which is what the life insurance company would eventually pay to beneficiaries. Instead, it’s a present-value offer . 

Will I need to pay taxes on the money I receive?

In most cases, no. Life settlement proceeds for individuals with a terminal illness or certain chronic conditions may be exempt from federal income tax, but this can vary. The financial industry regulatory authority recommends consulting a qualified tax professional to understand specific tax implications. Whether or not you pay taxes depends on how the IRS classifies your payout—and your advisor can help you prepare accordingly.

What if I’ve already spoken to a life settlement provider or company before?

It’s common for people to compare offers from different sources. But not all options are equal. Some life settlement providers work through brokers or multiple providers, which can reduce your cash payout and slow the process. At American Life Fund, we handle everything directly—no broker fees, no unnecessary delays. If you’ve received a quote elsewhere, we can often offer more.