Unwanted life insurance can be a valuable asset for seniors’ retirement

Seniors looking for an additional source of income should think twice about letting unwanted life insurance lapse, because these policies may be sold for substantial value to help fund a better quality of life in their retirement.

... Ken Lester, a professor at McGill University’s Desautels Faculty of Management and CEO of Lester Asset Management Inc. in Montreal, says life settlements are a bit like reverse mortgages, which allow homeowners to take out a loan against the equity in their home to receive cash payments. 

“For certain people it can be a very win-win kind of situation, where they don’t need the money on death, they need it very badly while they’re alive,” Lester says.

“Philosophically, I’m all for it. We only have one life to live and we should live it as comfortably as we possibly can.”

Read full article: Montreal Gazette, November 24, 2014