What is the roll of a life settlement in the senior continuing care marketplace?
In today’s depressed housing market, a life settlement may be the source of cash needed for a senior to qualify for residency at the private-pay continuing care community of their choice. Senior communities that do not rely upon Medicaid funding and only take private-pay residents are requiring applicants to demonstrate that they have sufficient cash or other dedicated resources at the time of admission to pay for two or three years of community care costs. Until recently they did not think to ask about life insurance because they did not realize it could be sold in a life settlement transaction. This settlement amount can be used for an independent living, assisted living or skilled nursing care community that either requires a buy-in or a community with a lease arrangement. Having this cash, plus Social Security and any VA benefits will allow the resident to age in place.
In today’s depressed housing market, a life settlement may be the source of cash needed for a senior to qualify for residency at the private-pay continuing care community of their choice. Senior communities that do not rely upon Medicaid funding and only take private-pay residents may require applicants to demonstrate that they have sufficient cash or other dedicated resources at the time of admission to pay for two or three years of community care costs. Until recently they did not think to ask about life insurance because they did not realize it could be sold in a life settlement transaction. This settlement amount can be used for an independent living, assisted living or skilled nursing care community that either requires a buy-in or a community with a lease arrangement. Having this cash, plus Social Security and any VA benefits will allow the resident to age in place.
