Retained Death Benefit in Fort Lauderdale – Cash Today, Security Tomorrow

Many policyholders assume their only options are to let the policy lapse or surrender it for a small payout. But there’s another option that provides both immediate financial relief and continued family protection: a Retained Death Benefit (RDB).

At Summit Life Insurance, we specialize in helping Fort Lauderdale residents access cash today while keeping a portion of their death benefit for their loved ones.

What Is a Retained Death Benefit?

A Retained Death Benefit is a form of life settlement that allows you to:

✔ Receive a lump-sum cash payout now
✔ Stop paying expensive premiums
✔ Keep a portion of your death benefit to pass on to your heirs

It’s essentially the “middle ground” between surrendering your policy and selling it outright.

How Does It Work?

When you work with Summit Life Insurance in Fort Lauderdale:

1. We evaluate your policy – to determine eligibility and value.

2. We shop it to licensed buyers – creating competition for the best offer.

3. You receive cash upfront – while the buyer agrees to reserve a portion of the death benefit.

4. Premiums are eliminated – the buyer takes over payments.

This way, you enjoy financial freedom now, without leaving your family empty-handed later.

Example Scenario

Carlos, age 73, owns a $500,000 Universal Life policy. Premiums are costing him $600 per month.

Through a Retained Death Benefit settlement:

✔ He receives $60,000 cash upfront.
✔ His premiums drop to $0.
✔ His family still receives $150,000 death benefit when he passes.

Instead of losing the policy—or surrendering it for just $12,000—Carlos secures both cash and peace of mind.

Who Qualifies for a Retained Death Benefit in Fort Lauderdale?

You may qualify if you:

✔ Are 65 or older (or younger with significant health issues)
✔ Own a policy with at least $100,000 in face value
✔ Hold Universal Life, Whole Life, or Convertible Term insurance
✔ Want cash now but still wish to leave something for your heirs

Retained Death Benefit vs Full Life Settlement

If your goal is maximum cash, a life settlement may be the right choice. If you want to balance financial relief with family security, a retained death benefit is often the better option.

Are Retained Death Benefits Taxable?

Like other life settlements, RDB payouts may have tax implications:

• Premiums you’ve paid (basis) → Tax-free

• Gain up to cash surrender value → Taxed as ordinary income

• Excess over surrender value → Taxed as capital gains

Important: Unlike viatical settlements (for terminally ill policyholders), retained death benefit proceeds are not typically tax-free. Always consult a tax advisor for your specific situation.

Why Fort Lauderdale Residents Choose Retained Death Benefits

✔ End Premium Payments – Stop the financial drain of monthly premiums.
✔ Immediate Cash – Use it for retirement, medical expenses, debt, or travel.
✔ Family Protection – Keep a guaranteed death benefit for your heirs.
✔ Local Expertise – Summit Life Insurance provides Fort Lauderdale residents with personalized guidance.

Why Work With Summit Life Insurance?

At Summit Life Insurance, we’re more than just a broker—we’re your advocate.

✔ Licensed Florida Broker – Full compliance with state regulations.
✔ Access to Multiple Buyers – We create competition to raise your payout.
✔ Transparent Process – You see every offer before making a decision.
✔ Compassionate Guidance – We know this decision impacts your family’s future.
✔ No Risk, No Obligation – Free consultations with no pressure.

FAQs About Retained Death Benefit in Fort Lauderdale

1. How much death benefit can I keep?
Typically 10–30% of the original face value, depending on the offer.

2. Do I have to keep paying premiums?
No. Once you enter a settlement, the buyer covers all premiums.

3. How long does the process take?
Most retained death benefit settlements close within 30–60 days.

4. Is this option legal in Florida?
Yes. Florida regulates life settlements—including retained death benefit options—to protect consumers.

5. Can I change my mind?
Yes. Florida law provides a rescission period after settlement closes.

Final Thoughts

A Retained Death Benefit gives Fort Lauderdale residents the best of both worlds—cash now and family security later. Instead of letting a valuable policy lapse or surrendering it for far less, you can unlock its full potential.

At Summit Life Insurance, we make the process simple, transparent, and tailored to your needs.

Contact Summit Life Insurance today for a free policy review and find out how much cash and retained benefit you can secure.