For most life insurance agents, the hardest part of introducing life settlements isn't understanding the product. It's knowing how to bring it up.
The conversation can feel awkward if you overthink it. But it doesn't need to be. When framed correctly, bringing up a life settlement is one of the most client-centered things you can do — and most clients respond to it exactly that way.
When to Bring It Up
The clearest signal is when a client expresses any of the following:
- They want to cancel or lapse their policy
- They can no longer afford the premiums
- Their coverage need has changed — children are grown, a spouse has passed, a business no longer exists
- They need cash for medical expenses, long-term care, or retirement income
- They mention feeling like they're paying for something they no longer need
Any one of these is an opening. You don't need to wait for the client to ask — in fact, most clients have never heard of a life settlement and will never ask on their own. That's why you bringing it up matters.
How to Start the Conversation
A simple, genuine statement is enough:
Most clients will say no. From there:
“It's where you sell your life insurance policy to a buyer on the secondary market — instead of just letting it lapse or surrendering it for the cash value. Depending on your policy and health situation, you could potentially receive a meaningful lump sum. It only takes a few minutes to find out if you'd qualify, and there's no obligation.”
Curious what your policy could be worth?
It only takes 60 seconds to find out — and there's no obligation.
Check My Policy ValueCommon Client Questions — and How to Answer Them
Is this legal? Yes. Life settlements are legal, regulated financial transactions overseen at the state level.
How much could I get? That depends on the face value of the policy, your age, your health, and the type of policy. A free evaluation gives you a real estimate with no obligation.
What happens to my family's death benefit? When a policy is sold, the new owner becomes the beneficiary. This is an important consideration clients should think through carefully before proceeding.
Is there any pressure to accept an offer? None. The process starts with a free evaluation and the client is never obligated to accept.
What to Do After the Conversation
If the client is open to exploring it, submit a referral through our partners page. We handle the evaluation, buyer outreach, paperwork, and client communication. You stay informed throughout. If the transaction closes, you receive referral compensation.
The Agents Who Do This Stand Out
Life settlement referrals are still relatively uncommon in the industry — which means agents who proactively bring them up stand out. Clients remember. They tell their friends. They come back to you for other needs because they know you go the extra mile.
Ready to refer a client or learn more about the process?
Whether you have a client in mind or just want to understand how it works, we're happy to walk you through it. Schedule a quick call or submit a referral anytime.
Lifestone Settlements is a life settlement broker based in Lighthouse Point, Florida. Life settlements are regulated transactions. Eligibility and offer amounts vary based on individual policy and health factors. This content is intended for licensed insurance professionals and financial advisors. It does not constitute legal or financial advice.
