What are the alternatives?
What are the fees involved?
Can I change my mind?
Life Expectancy
Are there any restrictions on the use of these funds?
What about my confidentiality?
What about taxes

It's not just accurate answers you need. We'll help you ask the right questions, so you can find the right solution for your situation.

Are there alternatives to a viatical settlement?

Yes, there are three other options. First, you may be able to borrow against your life insurance policy. Second, either your policy or insurer may provide an accelerated benefits option. Finally, you may be able to cash out your policy if it has any cash surrender value. (See our Consumer Guide.)

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What are the fees involved?

There are none. You will never pay Individual Benefits any application fees, medical evaluation charges, or any other costs, ever.

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Can I change my mind?

Yes, at any time prior to receiving your settlement, without obligation or fees. We also recommend that you check your contract to make certain it includes a 15-day rescision period after the sale of your policy.

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What if I live longer than doctors estimated or go into an unexpected remission?

We would be happy for you. Remember that we act on your behalf to get you the best offer and are not concerned about returns on an investment or managing a portfolio. Under no circumstances would you be required to return any portion of the settlement; it's yours to keep.

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Are there any restrictions on the use of these funds?

No. These funds can be used any way the seller wishes: for living expenses, as donations, to pay for medical treatments, even to buy a car, a home or go on vacation. It doesn't matter.

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What about my confidentiality? Who will be contacted during the process?

Only your primary physician, your insurance company or benefits administrator, or anyone you specifically authorize. We protect your privacy and guarantee that Individual Benefits will never give lists of names or social security numbers to government or private agencies.

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Where do my beneficiaries enter into the process?

Any person listed as a beneficiary must sign a release and waive all current and future rights in the proceeds from your policy.

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What about taxes on the sale of a life insurance policy?

In August of 1996, Congress passed legislation to eliminate federal income tax on the proceeds of viatical settlements and accelerated death benefits. Certain restrictions do apply. [For more details, see our Consumer Guide.]

Will my settlement affect my state or federal aid?

It might adversely affect your qualification status for income-based federal or state financial assistance, such as supplemental Social Security benefits, Medicare, and food stamps. Again, it's best to consult an attorney and/or cpa.

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What about future premiums on my policy?

Your responsibility ends with the sale of the policy. You pay no more premiums, except in the case of Federal employees' government life insurance (FEGLI). Federal employees and annuitants are required by the government to continue paying the premiums even after assigning their coverage.

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