Q Capital has streamlined the life settlement process by following strict procedures. This enables greater efficiency, transparency, quicker transactions, better service, and more productivity.

We have incorporated an information technology system (“QUOTE™”) into the transaction process which has streamlined the purchase, maintenance, collection, and sale of life insurance policies. QUOTE brings a new level of automation and efficiency to the life settlement business model. QUOTE enables Q Capital to:

  • Price policies quickly and accurately and generate quotations
  • Digitize all files related to policies
  • Restrict access to policy information to appropriate personnel
  • Track policies, including determining the cost of insurance (premium payments), estimating market value, monitoring portfolio diversity and performance, analyzing cash flows (in coordination with the servicing/asset management division)
  • Analyze actual policy performance at maturity
  • Share policy data with its outside partners, where appropriate

QUOTE allows our life settlement specialists to handle large numbers of policies with the confidence of having reliable records and good compliance in place. The transaction process follows the following general steps:

  1. Policy Received
    – Policy is sent to Q Capital for review
    – Copy of application received
    – Signed medical release recieved
    – Receipt of current medical records, laboratory reports, and hospital records
  2. Diagnosis
    – Medical underwriter reviews case – either an internal underwriter or sent to one of the nationally recognized firms
    – Life Expectancy report is issued
  3. Policy verification
    – Policyholder signs waiver to acquire policy information directly from the insurance company
    – Insurance company must be rated B+ or better Moody’s, S&P, and A.M. Best
    – Policy must be past contestability period
    – Policy must allow for absolute assignment of ownership and/or irrevocable right to designate beneficiaries
  4. Purchase Procedure
    – Completion of purchase agreement
    – Deposit of settlement amount in escrow account until closing
  5. Closing
    – On a case by case basis, we may need to contact current beneficiaries, get signed consent waiving or releasing beneficiaries’ rights
    – Policy is transferred to purchaser
    – Purchaser is recorded as a beneficiary using a standard change of beneficiary form provided by the issuing insurance company
    – Escrow agent pays seller
    – Purchaser receives a copy of the transfer of ownership form and reassignment of beneficiary form

When the transaction is complete, the buyer – or life settlement provider – becomes the new owner of the life insurance policy, pays future premiums and collects the death benefit when the insured dies. The proceeds of the sale can be used in any manner the seller sees fit.