Considering a life settlement emerges as a viable option for those finding their life insurance policy redundant or economically burdensome. When a policy is sold to a third party investor, the policy holder gains a considerable one-time compensation, surpassing the intrinsic cash surrender value of the policy. Yet, the entire process of getting an abacus life settlement often puzzles policyholders who haven’t done much research on the topic.

In this article, we will guide you through obtaining a life settlement, from the initial application, to the final transfer of funds. We aim to provide you with a clear understanding of each step so that you can confidently navigate this process. Whether you’re considering a life settlement or want to learn more about this option, this guide will provide valuable insights. So, let’s embark on this journey to understand the steps of obtaining a life settlement with Abacus Life.

Step One: Application

The first step in obtaining an Abacus Life settlement is to fill out an application. This typically involves providing information about the policy and the policyholder’s health status. The application process is crucial as it helps the potential buyer assess the policy’s value.

Step Two: Documentation

Once the application is completed, the next step involves gathering and submitting all necessary documentation. This may include the policy itself, medical records, and other documents that could affect its value. The documentation helps to verify the information provided in the application.

Step Three: Review and Underwriting

After the documentation is submitted, the potential buyer will review the information and conduct an underwriting process. This involves evaluating the policyholder’s life expectancy based on their health information. The outcome of the underwriting process significantly impacts the offer the policyholder will receive.

Step Four: Bidding Auction

Sometimes, the policy may be put up for a bidding auction where multiple potential buyers can offer. This process ensures that the policyholder receives the highest possible offer for their policy.

Step Five: Offer

The policyholder will receive an offer after the review and underwriting process (and the bidding auction, if applicable). This offer will detail how much the potential buyer will pay for the policy.

Step Six: Closing Package

If the policyholder accepts the offer, a closing package will be prepared. This package typically includes various legal documents that transfer the ownership of the policy from the policyholder to the buyer.

Step Seven: Notification

Once the closing package is signed and returned, the insurance company is notified of the policy ownership and beneficiary change.

Step Eight: Funds Transfer

After the insurance company acknowledges the change in policy ownership, the funds are transferred to the policyholder, completing the life settlement process.


Obtaining an abacus life settlement involves several steps, from application and documentation to review, underwriting, and finally, the transfer of funds. It’s a process that requires careful consideration and thorough understanding. As always, seeking advice from professionals in the field, such as Abacus Life, is recommended to ensure you make informed decisions.


By Swati