Your Questions,
Plainly Answered

A life settlement is the sale of an existing life insurance policy by the original policyholder to a third-party acquirer. The sale price is greater than the policy's cash surrender value but less than its full face value. The acquirer takes over premium obligations and receives the death benefit when the policy matures.

LifeChain acquires permanent life insurance policies — including whole life, universal life, and converted term policies — issued by U.S.-domiciled insurance carriers with strong credit ratings. All policies must be past the two-year contestability period at the time of acquisition.

Policyholders sell for a variety of reasons: premiums have become unaffordable, the original coverage need no longer exists (beneficiaries outlived, estate plan changed), the insured needs liquidity, or the policy would otherwise lapse with no recovery. A life settlement delivers fair market value — typically well above the cash surrender value — in exchange for assigning the future death benefit to the acquirer.

Yes. Life settlements are regulated at the state level across most U.S. states. Licensing requirements apply to providers, brokers, and advisors involved in secondary market transactions. LifeChain operates in compliance with applicable U.S. state regulations governing life settlement transactions.

The traditional secondary market targets policies held by insureds aged 73 and older with significant medical impairment — a competitive, expensive, and well-established segment. LifeChain operates differently: targeting earlier-stage policies, ages 65–70, with minimal competition and significantly lower acquisition costs. This distinction drives our acquisition economics and the return profile of our portfolios.

Acquisitions are funded through private placements available to accredited investors and qualified institutional participants. Capital is deployed into a diversified acquisition portfolio of U.S.-issued life insurance policies. Each portfolio is independently constructed, actuarially underwritten, and managed over a defined holding period aligned to the actuarial return model.

Every policy is subject to independent third-party actuarial review before acquisition. LifeChain applies strict criteria covering insured age, actuarially assessed life expectancy, minimum return thresholds, contestability period status, and carrier credit quality. Final acquisition decisions are made by the management team based on portfolio fit and return modeling.

Acquisition portfolios are diversified across multiple A-rated and A+-rated U.S. insurance carriers. Concentration limits prevent any single carrier from representing a disproportionate share of the portfolio. Many policies carry additional reinsurance support from major international reinsurers, providing a secondary layer of financial backing.

LifeChain's independent actuarial modeling projects a base case IRR greater than 15% at the median scenario. Even in the most conservative modeled scenario, projections reflect full capital recovery with positive returns. These are actuarially derived projections — not a guarantee or assurance of any specific outcome.

The primary risk is actuarial timing — specifically, that the insured population lives longer than modeled. This delays — but does not eliminate — policy maturities and reduces IRR. Unlike equity risk, the underlying carrier obligation does not disappear: the carrier is required to pay the death benefit upon maturity. The uncertainty is timing, not whether the obligation will be met.

Life settlement acquisitions are structurally non-correlated to equity markets, interest rates, credit spreads, real estate, and commodity prices. Returns are driven by actuarial mortality modeling and insurance carrier financial strength — not by economic cycles. This makes life settlements a genuine diversifier for portfolios with significant traditional market exposure.

LifeChain manages this risk through carrier diversification, strict credit quality requirements (A and A+ rated only), and reinsurance coverage across the portfolio. U.S. state insurance guarantee funds also provide an additional backstop for policy obligations, with coverage limits that vary by state. Prospective participants should review all risk factors in the offering documentation with their own advisors.

Participation is available to accredited investors, qualified institutional buyers, family offices, pension funds, endowments, and qualified private capital allocators under applicable private placement exemptions. LifeChain's programs are not available to the general public.

Capital recovery is targeted within 4–5 years in the base actuarial scenario. Distributions begin as individual policies mature — typically within the first year — and increase in size and frequency as the portfolio ages through its holding period.

Qualified investors may contact LifeChain at investor@lifechainfinancial.com to request the investor overview, actuarial modeling summary, and private placement documentation. All inquiries are handled confidentially.