This is an interesting peice of information and is packed with facts about LEs (Life Expectancies).

Global Life Underwriting has published a white paper for the life settlements industry explaining the difference between morbidity and mortality in life expectancy reports (LER) and its significance in creating standardized LERs that can be relied on by investors.

We attached the PDF format of this report below, feel free to print and share with your partners and colleagues.

The paper goes on to state that the new 2008 VBT Relative Risk tables provide a reliable set of data from which to measure the impact of morbidity on mortality and therefore, has no need for the use of multipliers which are the cause of many inaccuracies for the life expectancy providers who use them.

The author is Howard S. Freedland, CSA

Download and View:
Morbidty versus Mortality (Life Expectancy Report)

This is great news for the Life Settlement Industry, with tighter lending and credit markets many were waiting to see how funds would react continue to purchase and invest in life insurance settlements.

As the stock market continues its tumultuous run, interest in life insurance settlements as an institutional investment is at an all-time high according to executives at The Lifeline Program®. A number of factors are contributing to this increase, but the investment category’s status as an asset non-correlated to the stock market is proving to be attractive to institutions.

According to W. Scott Page, life settlements are gaining momentum for the following reasons:

Non-correlated assets can generate an attractive yield. The markets have little effect on life settlement yields. One of the key aspects of a life settlement is that the investor earns a payout on the demise of the policyholder. The strength or weakness of the stock market does not impact the life settlement arena.

Life settlement assets are backed by highly rated financial institutions. Life settlements are performed on policies held by carriers with A.M. Best ratings of “A” or better, so the payouts are regulated and solid.

Trading platforms exist. Several “household name” institutions have developed or are developing platforms to trade life settlement policies and portfolios.

Securitization is on the horizon. Though it may not be this year, securitization is definitely in the future for life settlements. Portfolio analysis comprising the past several years proves that life settlement portfolios will perform predictably and generate consistent cash flow.

Third party tracking, servicing and underwriting simplify the investment. In a sign of a maturing industry, life settlements are not necessarily managed by one-stop shops anymore. The size and scope has made it profitable for third party companies to manage tracking, servicing and some underwriting, thus easing entry by financial players.

We will continue to monitor as more and more available purchasing entities enter the Life Settlement Arena.

Keep checking back for more Life Settlement Info!

Source: eMediaWire

Fasano Announces Agenda for November 5 Conference

This is a one day conference on November 5, 2008 in Washington DC at the Fasano Associates Headquarters.

Jonas Martenson, Managing Partner of Ress Capital, and Patrick McAdams, Investment Director of Surrenda-link Investment Management, will open the Conference with a European Perspective on the Life Settlement Market. They will be followed by Alan Buerger, CEO of Coventry, who will discuss Ramp up, Servicing and Other Risks associated with today’s market.

Jeff Mulholland, President of Life Equity, will present a Comparison of the Cash and Synthetic Markets for Life Settlements. In addition, Michael Fasano and Hasan Qureshi of Fasano Associates will propose Best Practices Standards for Life Expectancy Providers.

Neil Weidner, Esq., Partner of Cadwalader, Wickersham & Taft, will start the afternoon session with a discussion of the Legal and Policy Issues affecting Life Settlement Indices, Synthetic Transactions and Securitizations.

Additional afternoon presentations will include a description of the use of Life Settlements in Collateralized Asset Transactions by Thomas Morante, Esq., Partner of Jones, Walker, and an analysis of Preferred Underwriting of the Elderly by Dr. John Iacovino, Medical Director of Fasano Associates.

The Conference will end with a presentation on the Impact of the 2008 Elections by Michael Barone, Fox News Analyst and Senior Writer for U.S. News & World Report.

More conference info:
Life Settlement Conference in Washington, D.C.

I am glad to see a discussion about securitizations and hopefully they will touch on the current market and credit crunch impacts, also read:
Life Settlement Hedge Funds Growing

Visit Washington DC Life Settlement