Viatical Settlement New Jersey

Get Your Free Estimate!

Call us today at 877-261-0632

What is a Viatical Settlement?

Viatical settlements allow someone diagnosed with a life-threatening illness to sell their life insurance policy for cash. This person is known as the “viator.”

The third party they sell their policy to is an institutional investor, usually a viatical settlement company such as us here at American Life Fund.

A viatical settlement is a legally enforceable agreement between a life insurance policyholder with a severe illness (viator) and a viatical settlement business.

See If You Qualify!

How Does a Viatical Settlement in New Jersey Work?

The process begins when the policyholder contacts a viatical settlement company like American Life Fund. After an initial consultation, the viator will apply.

Once the application is received, our underwriters will evaluate the case and verify all information provided by the viator.

If the case is approved, the viator will be asked to sign contracts issuing the viatical company as the new policy owner and beneficiary in exchange for the agreed-upon offer amount. Then we will issue a payment for the offer amount. It’s that simple! The entire process can take as little as two weeks from start to finish.

See If You Qualify!

Want a free estimate for your policy?

Use our free calculator to see if you qualify and get an estimate of your policy’s worth.

See If You Qualify!

Who Is Eligible To Get A Viatical Settlement in New Jersey?

Insured’s Health

To qualify for a viatical settlement, the insured must be diagnosed with a life-threatening illness such as cancer or ALS.

Policy Type

All life insurance policy types are accepted. Whether you have whole life, term life, universal, group, or joint life insurance, you could be eligible for a viatical settlement. However, if the policy is issued through an employer, the insured must be separated from the employer or nearing separation from their employer in order to sell their policy.

The Age Of The Life Insurance Policy

The life insurance policy must have been in place for at least two years.

The Value Of The Life Insurance Policy

The life insurance policy must have a death benefit of at least $200,000.

What are the Benefits of a Viatical Settlement in New Jersey

There are many benefits of entering into a viatical settlement. However, the two most common reasons people do it are for the money and to ease the burden on their loved ones.

Some other benefits include:

  • No medical exams are required
  • You can use the money however you want
  • It’s a speedy process
  • You can choose the settlement company you want to work with

American Life Fund is one of the leading viatical settlement companies serving the citizens of the USA. We have helped many people through this difficult time in their lives.

See If You Qualify!

How are Viatical Settlement Payments Calculated?

The payout you receive from a viatical settlement is based on several factors, including but not limited to:

  • The death benefit of your life insurance policy
  • Your health condition
  • The type of life insurance policy you have

These are just a few of the factors that will affect your payout. For an accurate and free quote, call us at 877-261-0632, and one of our expert representatives will be more than happy to help you.many people through this difficult time in their lives.

See If You Qualify!

The Pros And Cons Of A Viatical Settlement

Not sure if a viatical settlement is a right move for you or your loved one? Here are some things to keep in mind.

Pros:

  1. You’ll get a one-time payout much higher than the cash surrender value through a viatical.
  2. Help pay for medical expenses such as medical premiums, treatment, or long-term care.
  3. Use your money for better care, travel, or anything else to make you happier.
  4. With a viatical settlement, you can stop making premium payments. The new owner i.e. the viatical settlement company, will take over those responsibilities. They will also be in charge of any other maintenance costs.

Cons:

  1. Government assistance programs such as Medicaid are need-based programs based on your income and assets, so you may lose eligibility if your finances improve.
  2. Beneficiaries won’t be able to receive the death benefit from your life insurance policy  unless you choose to give them part of your viatical settlement payout.

Viatical Settlement Examples

Here are a few examples of how people have used their viatical settlement payouts:

  • John had a life insurance policy with a $500,000 death benefit. He was diagnosed with terminal cancer and decided to enter a viatical settlement. He received a payout of $300,000 and used the money to travel and spend time with his family members.
  • Mary had a life insurance policy with a $250,000 death benefit. She received $200,000 and used the money to pay for her medical expenses and treatments.
  • Mike had a life insurance policy with a $200,000 death benefit. He received $90,000 and used the money to pay off his debts.

As you can see, viatical settlements can be very beneficial for seriously ill people who need financial assistance.

See If You Qualify!

Viatical Settlement vs Life Settlement

When looking into viaticals, you may hear the term “viatical life settlement” thrown around — but viatical settlements and life settlements are two separate transactions. A life settlement is similar to a viatical settlement, but the two have several key differences.

How do life settlements work?

  • A life settlement is a transaction that occurs when an individual over 75 sells a life insurance policy to a settlement provider for cash, usually yielding considerably more than the policy’s surrender value.
  • The size of a life settlement payout is mostly determined by the policyholder’s health status and the premium payments of the policy. The money from selling life insurance policies can be used to finance long-term care, medical procedures, travel, or family events.
  • Many people are unaware they can sell their life insurance policy for cash. When a policy becomes too expensive or unnecessary, the owner typically lets it lapse without knowing there is another option—the life settlement market.
See If You Qualify!

Alternatives To Viatical Settlements

Not sure if a viatical settlement is right for you? Here are some other options to consider

Withdrawals

You can withdraw from the cash value of your life insurance policy, but this will reduce the death benefit paid to your beneficiaries.

Surrendering the policy

You can cancel your life insurance policy and receive the cash surrender value. This is usually a bad idea because you will get less money than if you had sold the policy in a viatical settlement.

Although viatical settlements offer many benefits, they aren’t the only form of financial assistance available. Be sure to speak with a professional before making any decisions.

Is a Viatical Settlement Right For You?

With life insurance policies increasing daily, it’s important to consider all options before deciding. For those with a chronic or terminal illness – selling your policies may be one way to afford quality care while still securing a financial cushion that will help you improve your quality of life.

If you or a loved one is facing a life-threatening illness and needs a Viatical Settlement, please call us at 877-261-0632 to see how we can help.

See If You Qualify!

We’ve Helped Thousands of
People Just Like You.

See Our Testimonials

“You never know how stressful a cancer diagnosis is until you experience it yourself. American Life Fund relieved my financial worries so I’m able to focus on my journey to recovery!”

Andrea, Arizona

Cancer Financial Assistance

“Once I received the first bill for treatments, I knew that I had to come up with a financial plan. I found American Life Fund and instantly felt reassured that I was in good hands. They were able to provide me with the money I needed and literally saved me from bankruptcy. I am now able to enjoy my time with what means the most to me, my family.”

Dan, Alabama

Paying For Cancer

“When my husband was diagnosed with cancer and our retirement ran out, we needed a plan B and fast. American Life Fund provided the financial help we needed exactly when we needed it.”

Charlene, Wisconsin

Viatical Settlements

New Jersey Counties Eligible for Viatical Settlements

Atlantic, Bergen, Burlington, Camden, Cape May, Cumberland, Essex, Gloucester, Hudson, Hunterdon, Mercer, Middlesex, Monmouth, Morris, Ocean, Passaic, Salem, Somerset, Sussex, Union, and Warren.

Viatical Settlement Bergen County

If you’re in Bergen County and considering a viatical settlement, we’re here to support you. Our dedicated team provides compassionate and thorough assistance, guiding you through the complexities of viatical settlements. We work closely with you to make sure that you fully understand your options, empowering you to make informed decisions about your financial future.

Viatical Settlement Middlesex County

Dealing with a serious illness is challenging, and at American Life Fund, we’re here to help residents of Middlesex County navigate this difficult time. If you’re exploring viatical settlements, our experienced team offers the support and guidance you need. We strive to simplify the process, providing clear information and personalized assistance, so you can make the best choices for your financial well-being.

Viatical Settlement Essex County

For those in Essex County facing a life-threatening illness, American Life Fund is here to provide the necessary support. Considering a viatical settlement is a big first step to guaranteeing your financial future, and our knowledgeable team is dedicated to helping you through every stage. We offer compassionate guidance and guarantee you understand your options, allowing you to make well-informed decisions about your financial situation.

Viatical Settlement Hudson County

At American Life Fund, we understand the difficulties that come with managing a serious illness. If you’re in Hudson County and looking into viatical settlements, our team is here to assist you. We specialize in offering empathetic and thorough support, helping you work through the challenges of the process. Our goal is to provide you with all the information you need to make informed and confident decisions about your financial future.

Viatical Settlement Monmouth County

Facing a life-threatening illness is tough, but residents of Monmouth County have a reliable partner in American Life Fund. If you’re considering a viatical settlement, our dedicated team is here to offer compassionate and expert guidance. We are committed to simplifying the process for you, ensuring you understand your options and can make decisions that best suit your financial needs.

Viatical Settlement Ocean County

American Life Fund is here to support residents of Ocean County dealing with serious illnesses. If you’re contemplating a viatical settlement, our experienced team is ready to provide the assistance you need. We focus on offering empathetic support, guiding you through the process and helping you understand your options, so you can make informed choices about your financial future.

Insights for Viatical Settlements in New Jersey

New Jersey’s population reached approximately 9.29 million as of 2023, reflecting a modest growth since 2020. Of this population, about 17.4% are seniors aged 65 and older, who often face increasing healthcare needs and costs as they age​.

Regarding health, about 6.8% of New Jersey’s population under the age of 65 live with a disability, and 8.0% are without health insurance. This highlights a large enough portion of the population that might face medical and financial challenges without adequate coverage​​.

According to Genworth’s 2024 report, the average cost of assisted living in New Jersey is $6,495 per month. These figures show the potential financial strains that individuals, particularly the elderly or those with severe health conditions, might face in New Jersey​.

A study on the Prevalence and Medical Costs of Chronic Diseases Among Adult Medicaid Beneficiaries revealed that costs among beneficiaries with cancer were between $30,540 and $47,850 for the six months following diagnosis. Clearly, a monthly pension is not enough to handle everything​​.

A viatical settlement could offer a necessary financial lifeline by providing a lump sum cash payment, allowing for better management of healthcare costs, living expenses, or even fulfilling personal goals during challenging times. This financial option is particularly beneficial for those in New Jersey who are struggling to cover the high costs of medical care and living expenses due to a serious illness.

FAQ about Viatical Settlement in New Jersey

Who is eligible for a viatical settlement in New Jersey?

In New Jersey, individuals diagnosed with a life-threatening illness, usually with a life expectancy of two years or less, are eligible for viatical settlements. The policyholder must have a valid life insurance policy to sell.

How much can I expect to receive from a viatical settlement?

The amount you receive from a viatical settlement depends on several factors, including the policy’s death benefit, your life expectancy, and the terms of your policy. Typically, the payout is higher than the policy’s cash surrender value but less than the death benefit.

Are viatical settlement proceeds taxable in New Jersey?

In most cases, the proceeds from a viatical settlement are not subject to federal income tax if the policyholder is seriously ill. However, it’s advisable to consult with a tax professional for specific guidance related to your situation.

How long does the viatical settlement process take?

The viatical settlement process typically takes several weeks to complete. This includes the time needed for the policy review, medical records assessment, and finalizing the agreement.

Can I still receive my death benefit if I opt for a viatical settlement?

Once you complete a viatical settlement, the purchaser becomes the new owner and beneficiary of the life insurance policy. This means you will no longer receive the death benefit, but you will receive an immediate lump sum payment instead.

How can I ensure I’m working with a reputable viatical settlement provider in New Jersey?

To guarantee that you are working with a reputable provider, check for proper licensing and accreditation. It’s also beneficial to read reviews and seek recommendations. At American Life Fund, we are committed to providing transparent and trustworthy services to our clients.

Get a personalized Viatical Settlement estimate.

We will get you the best possible offer for your policy.

Qualify Now
(877) 261-0632