01/10/2006
IndemnityFirst join with Life
Settlement International to buy the lower value life settlement policies.
Mike Abraham comments, "Because of the high costs in acquiring policies
under the present methods, smaller policies are not bought and these of course
are the policies owned by people who may well need funds more than many of the ‘healthy
wealthys’ who presently sell their policies for tax advantage. The market
is heavy with advisers and fees and it does seem to us that following reports
such as that produced by Deloitte Touche in 2005, a change is on the way. We
can see the purchasing model moving towards that of the UK TEP market, where
the provider is introduced to the seller (the life insured normally) and pays
a small fee for that introduction. We ourselves have the relevant experience
and will use that to help in the purchase of such policies." |
