Male Age 83
Life Insurance and Settlement Analysis

Before
Client had a $1,000,000 Universal Life policy with a loan of $291,000 and annual premiums of $44,000.  The loan resulted in a net death benefit of $709,000 and loan interest due in addition to annual premiums to maintain the $709,000 of death benefit.

After
The $1,000,000 policy ($709,000 net) was sold for $210,000 (nearly 30% of the net death benefit).
The proceeds from the sale, $210,000, were invested in a new policy that required $46,500 of annual premiums to restore the full $1,000,000 of death benefit without any loans.

What was accomplished 
For less money than the client would have had to pay in current premiums and interest, we were able
to purchase an additional $300,000 of death benefit and eliminate any future loan interest liability.

This lead to an analysis of future insurance needs and potential future settlements:

A lump sum of $140,000 will cover the premiums due to maintain $1,000,000 of death benefit for 2 years. From our above example, we learned that this particular client can expect an offer of around
30% of death benefit from a settlement.  Hence, a $140,000 investment could yield around $300,000
in two years.  This would net the client a long term capital gain of $160,000 ($300,000 = settlement amount - $140,000 (premiums paid)) or a 114.29% return over two years. The next question he asked was, "How many more million can I get"?