Life Settlement Industry Statistics

Rebecca Parson
Rebecca Parson

Rebecca Parson


Rebecca Parson is a financial and tech writer with 10 years of experience writing about topics such as life insurance, commodities investing, and the SaaS industry. She has a master’s degree from Johns Hopkins University and a bachelor’s degree from the University of Mary Washington. Her writing has appeared at,,,,, and more.

Brian OConnel
Brian OConnel

Brian O'Connel


Brian O’Connell has been a contributing writer for U.S News & World Report since 2016. A former Wall Street bond trader and the author of two best-selling books; “The 401k Millionaire” and “CNBC’s Creating Wealth”, he has 20 years experience covering business news and trends, particularly in the business and financial sectors. He believes education is the best gift a financial consumer can receive – and brings that philosophy to every story he writes. His byline has appeared in dozens of top-tier national business publications, including CBS News, Bloomberg, Time, MSN Money, The Wall Street Journal, CNBC,, Yahoo Finance, CBS Marketwatch, and many more.

By Rebecca Parson, Brian O'Connel
Author, Contributor, Life Insurance

Our mission at Beca Life is to bring awareness of life settlements to all policyholders who no longer need, want, or can afford their policy. Many seniors are unaware that life settlements are an option and would consider it if their financial advisor presented them with it when discussing their life insurance policy. 

However, awareness has been growing and trending upward over the past decade. Chris Orestis, the president of Retirement Genius and a long-time retirement expert, predicts that consumer and advisor awareness of life settlements are at all-time highs on par with Reverse Mortgages and Medicare Advantage. Chris predicts that 2023 should be the biggest year in life settlement history, with a great deal of upside for the years ahead. 

Many Baby Boomers are over 65 or rapidly approaching that age, and they can sell their policy on the secondary market. The primary item investors look for when developing criteria for purchasing policies is the insured’s age and health. With so many policies available for sale, a lack of education is the primary reason many seniors allow their policies to lapse instead of considering a life settlement. 

Additionally, the need for financial advisors to take a more holistic approach when dealing with the financial challenges of retirement and long-term care is nothing but wind in the sails of the life settlement industry. 2022 was a record year for life settlements, and while pricing in 2023 came down slightly due to interest rate increases, transaction volume increased. As more seniors become aware of life settlements, they consider a life settlement part of their overall financial retirement strategy. 

Life Settlement Statistics And Transaction Volume

(possibly place chart here)

Even with over 3000 policies sold in 2022, there are still tens of thousands of policies that seniors lapse every year. Many of these are valuable in the life settlement market, and with more education, more seniors will consider this option over allowing their policies to lapse. Based on available data, actuaries at Beca Life presume that over 3 billion dollars of life settlement value is surrendered to life insurance companies annually. 

State Requiring Disclosure Requirements About Life Settlements

Many states now require insurance companies to inform policyholders about a life settlement option when considering lapsing or surrendering their policy. This disclosure requirement is a positive step toward increasing consumer awareness and understanding. State legislatures in Wisconsin, Maine, Kentucky, Washington, and Oregon have approved disclosure requirements to ensure that life insurance policyholders are correctly informed of their rights to sell these policies in the form of life settlements before their policies lapse. 

In many instances, it is in the insurance company’s interest not to disclose the option of life settlements. The majority of life insurance policies lapse without ever paying a death benefit. In a study done by Penn State University, over 99% of term life policies never end up paying a death benefit. The number of Universal life policies that never pay a death benefit is lower but still significantly higher than 50%.

Several lawsuits have been filed on behalf of insured individuals who had lapsed their policies without knowing about life settlements. These lawsuits were filed against life insurance companies that allegedly failed in their duty to notify insurance policyholders about their legal rights regarding life settlements. These failures of disclosures were particularly egregious when the life expectancy of the insureds was less than twenty-four months, and the policyholder could have sold the policy as a viatical settlement, netting them a significant amount of money. 

Educating Seniors About Life Settlements

At Beca Life, we take our role as industry leaders seriously and pride ourselves on providing accurate, fact-based information about the life settlement market. We aim to help policyholders make informed decisions and answer questions they may have about their policies. We empower them to take control of their financial future in retirement by providing information about life settlements. As we continue to see growing awareness and acceptance of life settlements, we are confident in the bright future ahead for this industry. So, if you or someone you know has a policy that is no longer needed, wanted, or affordable, consider exploring a life settlement option with Beca Life. Together, we can help secure a more financially stable retirement for seniors and their families. Let us be your partner in achieving this.

Number of Policies Transacted30502950320028782587
Total Face Value of Policies$4,500,000,000$4,000,000,000$4,600,000,000$4,400,000,000$3,800,000,000
Total Paid For Policies$820,000,000$715,000,000$848,000,000$839,000,000$640,000,000
Face Value (Average)$1,475,409$1,355,932$1,437,500$1,528,839$1,468,882
Settlement Amount (Average)$268,852$242,373$265,000$291,522$247,391
Percentage of Face Value Paid (Average)18.22%17.88%18.43%19.07%16.84%

Sell your life insurance policy for cash.

See if you qualify now.

We’re here to help. Speak with a Policy Specialist today at +1 848-456-8333