J.G. Wentworth gets life-settlement licenses
The firm's life settlements units have received provider licenses in 22 states and have filed applications with five others.
J.G. Wentworth Inc. today announced that its life settlements subsidiaries have received provider licenses in 22 states.
The Bryn Mawr, Pa.-based company’s subsidiaries, J.G. Wentworth Life Settlements LLC and J.G. Wentworth Life Settlements (DE) LLC, have also filed license applications with five other states that require licensing.
Twenty-three states and the District of Columbia don’t require licensing for life settlement providers.
A life settlement involves the selling of one’s life insurance policy to a third party for a one time cash payment.
The purchaser then becomes the beneficiary of the policy and begins paying the premiums.
Rather than focusing on million-dollar life insurance policies that are no longer needed by their high-net worth owners, J.G. Wentworth is reaching out to individuals with policies worth more than $50,000.
“The majority of policies are owned by average individuals and have face amounts of $500,000 or less,” Scott Willkomm, chief operating officer of the company’s life settlements business, said in a statement.
“We can efficiently service these policies with our consumer-oriented business model.”
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