What to do before entering into a Viatical Settlement Contract.

Before entering into a Viatical Settlement, all other options should be explored to assure the right decision is being made. Alternatives to gain funding in a situation where a terminally ill individual needs to cover medical and living expenses include accelerated death benefits, loans, and the submission of the life insurance policy for cash. Every situation is different, therefore it is wise to contact a financial planner, attorney, or agent to discover what is the best option for you.

There are several risks one takes when entering into a viatical settlement. The loss of benefits is a possibility, therefore, research is important to do before signing a contract. The possible consequences to look for include loss of life insurance coverage for the family of the viator, tax penalties, and loss of supplemental social security income, public assistance, and public medical services such as Medicaid. Additionally, be aware that the proceeds from the viatical settlement can be obtained by creditors, trustees in bankruptcy, and beneficiaries in state or federal court.

After all of your research is done, and you have decided that entering into a viatical settlement is the way to go, contact us to learn how easy the process can be.