LIFESTYLE SETTLEMENT

offered through one or more Settlement Brokers or Providers with whom our subsidiary, American Life Settlements, LLC has national contracts Insured individuals with a life expectancy of five to fifteen years may qualify to receive a single, lump-sum of cash by a company which actually purchases the life insurance policy for a discount from its Net Death Benefit Companies who purchase such policies often refer to the transactions as "Life Settlements" or "Senior Settlements" We decided to name our subsidiary American Life Settlements, LLC for this exact reason More recently, in test marketing, it was determined that we needed to create a more descriptive and evocative brand identity for this transaction which would help potential applicants think about what they might do with the money received when the life insurance is purchased Since our applicants have a lifespan of five to fifteen years, they may have health problems of a serious but not immediately life-threatening nature Proceeds from the purchase of their life insurance are typically used for discretionary expenditures such as travel and investment, debt repayment, charitable or family gifts and so forth Thus, we feel the term, "LIFESTYLE SETTLEMENT," properly conveys the emotional and economic messages that are appropriate to this group of potential applicants That is, they know they have some time left to enjoy life, and if it is appropriate, receiving cash for their life insurance might significantly enhance their lifestyle It is important to note that applicants whose life expectancy is estimated at five years (60 months) or less would be far better off to apply for and obtain a "SECURED, NO-PAYMENT CREDIT LINE" through our American Life Loans, LLC subsidiary because it is a loan (and thus not taxable) and because surplus funds (after payment of loan costs by the life insurance benefits) are paid to the designated Beneficiary By contrast, once the lump-sum cash has been accepted for the purchase of a life insurance policy, there are no further payments after the insured person dies