White's "hot' pitch

FEB 12, 2012
By  Bloomberg
Betty White, America's favorite Golden Girl and star of TV's “Hot in Cleveland,” is now hot on life settlements. The actress has signed on as celebrity pitchwoman for The Lifeline Program, a life settlement provider, and stars in the firm's YouTube video “I'm Still Hot,” which features her break dancing and sitting on a throne, surrounded by scantily clad muscle men. In life settlement transactions, an investor buys an in-force life insurance policy for a fraction of the policy amount. The policyholder receives the cash, and the investor pays the policy's premiums until the insured dies, when the investor collects the death benefit. Ms. White's pitch may fall on receptive ears. In a recent phone poll of 356 baby boomers conducted by International Communications Research Inc. and commissioned by Lifeline, 79% said that financial planners and insurance agents should disclose that life settlements are an alternative to letting a policy lapse by ceasing premium payments. About a quarter said they would consider selling their policy to help pay for retirement. “Many people didn't know that selling their life insurance policy was even an option,” said William Scott Page, chief executive of Lifeline.

A GOOD DEAL?

But at least one advisory firm executive isn't so sure life settlements are a good deal. “The lack of credit and liquidity in the market has made the offers [for policies] unattractive,” said Rita Robbins, president of Affiliated Advisors Inc. “Advisers realize that selling isn't as lucrative as it once was. The extension of life expectancies has also had a huge impact on the amount people are being offered.” A recent flurry of bad press, including the Securities and Exchange Commission's charges against life settlements provider Life Partners Holdings Inc., also has dampened interest in the secondary market, she said.

Latest News

What advisors need to know about SECURE 2.0’s impact on retirement income planning
What advisors need to know about SECURE 2.0’s impact on retirement income planning

Catch-up contributions, required minimum distributions, and 529 plans are just some of the areas the Biden-ratified legislation touches.

EToro to tokenize US stocks on Ethereum network for 24/7 trading
EToro to tokenize US stocks on Ethereum network for 24/7 trading

Following a similar move by Robinhood, the online investing platform said it will also offer 24/5 trading initially with a menu of 100 US-listed stocks and ETFs.

GTCR to acquire FMG Suite, expanding its wealth tech portfolio
GTCR to acquire FMG Suite, expanding its wealth tech portfolio

The private equity giant will support the advisor tech marketing firm in boosting its AI capabilities and scaling its enterprise relationships.

$29B Lido Advisors expands in Utah with Olympus Wealth Management
$29B Lido Advisors expands in Utah with Olympus Wealth Management

The privately backed RIA's newest partner firm brings $850 million in assets while giving it a new foothold in the Salt Lake City region.

Annuities hit new $223B high in H1 2025, LIMRA says
Annuities hit new $223B high in H1 2025, LIMRA says

The latest preliminary data show $117 billion in second-quarter sales, but hints of a slowdown are emerging.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.