Several factors determine viatical settlement eligibility. The criteria for viatical settlement eligibility may vary depending on the company, but generally, it revolves around key considerations. These considerations include a seriously ill individual’s diagnosis, the details of the life insurance policy they hold, and their ownership or legal authority over the policy. By meeting these criteria, individuals can explore the potential benefits of a viatical settlement and find the financial support they need during their challenging journey.
Health Condition of The Policyholder
The health condition of the policyholder plays a crucial role in determining their eligibility for a viatical settlement. A viatical settlement is typically available to individuals with serious health diagnoses, including but not limited to cancer, ALS (Amyotrophic Lateral Sclerosis), or Alzheimer’s disease.
The type and stage of the disease are important factors considered during the eligibility assessment. Whether it’s a late-stage cancer diagnosis, ALS, or the progressive cognitive decline associated with Alzheimer’s, these serious health conditions often meet the criteria for a viatical settlement. Individuals can assess their eligibility for this compassionate financial solution by understanding the stage of the disease and its impact.
The Age of The Life Insurance Policy
The age of the life insurance policy is another factor to consider when determining eligibility for a viatical settlement. Generally, the policy must be at least two years old when you want to sell it. This requirement ensures that the policy has had sufficient time to accumulate value and establish a track record.
The Value of The Life Insurance Policy
The value of the life insurance policy is a significant factor in determining eligibility for a viatical settlement. Generally, viatical settlement providers require the policy to have a face-value amount of $150,000 or more. This minimum value ensures the policyholder can access a substantial lump sum payment through the viatical settlement transaction.
Different viatical settlement companies may have different minimum value requirements, so it’s important to keep that in mind. By considering the value of the life insurance policy, individuals can determine their eligibility for a viatical settlement and explore the potential financial relief it can provide during their challenging circumstances.