ORLANDO, Fla.--(BUSINESS WIRE)--Guest speakers at the Life Insurance Settlement Association (LISA)’s 24th Annual Spring Life Settlement Conference, held this week at the Willard Intercontinental Washington in Washington, D.C., spotlighted the retirement savings shortfall in the U.S. and the need for “innovative solutions” to this growing problem.
A survey released today found that 78 percent of Americans are “extremely” or “somewhat” concerned about affording a comfortable retirement, with one in three Baby Boomers in particular reporting they have between $0 - $25,000 in retirement savings on hand.
Lori Prater, policy director and tax counsel for Rep. Mike Kelly (R-PA), provided a briefing on how Congress plans to tackle retirement security for Americans with legislation designed to encourage individual savings. “Retirement security is a very important topic on the Hill,” she said. “As the workforce dynamics change, we have to think about how we deal with the retirement savings shortfall in America and how we address that for future generations.”
Heather Eilers-Bowser, financial policy and legislative counsel for the National Association of Insurance Commissioners (NAIC), provided an update on key initiatives underway at the NAIC, focused around the central themes of promoting stable insurance markets, consumer protection and superior member services. “The NAIC is working to help consumers understand the importance of retirement security and identify innovative solutions to this challenge,” said Eilers-Bowser.
LISA’s annual meeting was one of the first professional gatherings of professionals in the life settlements industry when it debuted in 1995 and continues to bring together a wide range of industry participants, including life settlement providers, brokers, service providers and institutional investors. This year’s meeting focused on regulatory developments surrounding life insurance and retirement security issues affecting seniors.
A life settlement is the sale of a life insurance policy for more than its cash surrender value and less than its death benefit. The consumer receives an immediate cash payment and the buyer of the policy assumes all future premiums in exchange for the benefit when the insured passes away. Candidates for life settlements are typically aged 70 or older, with a life insurance policy that has a death benefit of at least $100,000. A life settlement may be an attractive option for seniors who need to generate immediate cash to offset their retirement expenses.
“The presentations in Washington this week illustrated that recent developments in technology, underwriting, consumer awareness and the regulatory climate have all converged to create excellent market conditions for the life settlement industry in the U.S.,” said Darwin M. Bayston, CFA, president and chief executive officer of LISA. “LISA will remain focused on our mission of educating seniors about all of the options available to them if they own a life insurance policy they no longer need or can afford.”
The next LISA conference will take place from October 21-23, 2018, at Disney’s BoardWalk Inn in Orlando, Fla. For more information, please go to www.lisa.org.
About the Life Insurance Settlement Association
The Life Insurance Settlement Association (LISA) is the nation’s oldest and largest organization representing participants in the life settlement industry, with a current membership of more than 80 companies doing business in all 50 states, the District of Columbia, Puerto Rico and the U.S. Virgin Islands. The mission of LISA is to promote the development, integrity and reputation of the life settlement industry, to advance the highest standards of practice and professional development for the industry, and to educate consumers and advisors about a life settlement as an alternative to lapse or surrender of a life insurance policy. For more information, visit www.lisa.org.