Fact Situation: Client was a successful business owner, age 63, who had $9,000,000 of "key man" coverage (term life insurance).

He was about to retire, and no longer wanted to pay premiums. He still wanted coverage for spouse and estate taxes.

A Life & Health broker wanted to replace all the coverage at a lower term rate. The broker soon found the client was totally uninsurable (hypertensive diabetic who liked to smoke cigars occasionally).

Client had spent $227,000 in premiums -- and had no cash values. The term costs would skyrocket in 2 years (client had held his 10 Year Level Term contracts for 8 years already).

We were able to accomplish the following:

(1) Found cash buyer willing to pay $710,000 (Life Settlement) for $6,500,000 worth of the term policies.

(2) We converted the remaining $2,500,000 of term without any evidence of insurability.

(3) Recovered over 3 times his premium costs ($227,000 costs vs. $710,000 recovered).

(4) Funded $2,500,000 worth of death benefit which is now guaranteed through age 115 without further premiums.

(5) Client has retired and is using the remaining proceeds from his Life Settlement for a personal trainer --to stay healthy for his wife, children and grandchildren. He still enjoys a cigar on occasion...